ANNUAL REPORT 2016 - Rogers Capital...Dear Shareholder, Your Board of Directors is pleased to present the Annual Report of Rogers and Company Limited for the year ended 30 June 2016.

2016ANNUAL REPORT

Dear Shareholder,

Your Board of Directors is pleased to present the Annual Report of Rogers and Company Limited for the year ended 30 June 2016. This report was approved by the Board on 8 September 2016.

Jean-Pierre Montocchio Philippe Espitalier-Noël Chairman Director & CEO

Contents

CorporateProfile 2

RogersataGlance 4

GroupStructure 8

GroupFinancialHighlights 10

Events&Achievements 12

Events&Achievements2015-2016 12

Leadership 14

OurBoardofDirectors 16

OurExecutiveTeam 22

ProfilesofChiefExecutiveOfficers 24

ProfilesofFunctionExecutives 28

StrategicFocus 30

BoardofDirectors’Report 32

InterviewwiththeCEO 34

StrategyforProfitableGrowth 38

CorporateSocialResponsibility 42

ConsolidatedValueAddedStatement 46

SharePriceInformation 47

ServedMarketPerformance 48

FinTech 50

Hospitality 58

Logistics 66

Property 72

GovernanceatRogers 80

CorporateOffice 82

OurPeople 83

StatementofCompliance 88

CorporateGovernanceReport 89

RiskManagementandAuditCommitteeReport 101

RiskGovernance&InternalControl 105

Secretary’sCertificate 117

OtherStatutoryDisclosures 118

DirectorsofSubsidiaryCompanies 119

FinancialPerformance 126

ChiefFinanceandInvestmentExecutive’sReport 130

Directors’Report 132

IndependentAuditors’Report 133

FinancialStatements 135

FrequentlyAskedQuestions 218

Rogers - ANNUAL REPORT 2016 1

Morethanacenturyago,thevisionofourpredecessorslaidthegroundworkforturningusinto

keyplayersinthepresentMauritianeconomy.Today,weareover4,500peoplesharingthe

samevisionandzeal.Ineveryactionwetake,we strive for higher levels of performance.Frombeinginstrumentalinthecreationofthecountry’shospitalityindustrytoleadingtheestablishmentof

ournationalcarrier,AirMauritius,whilstpursuingourswiftexpansionacrosstheglobe,it is that same

focused energy that drives us forward.

Corporate Profile

Energy drives everything.

Corporate ProfileRogersandCompanyLimitedisalistedinternationalservicesandinvestmentcompanywithspecialistexpertisewithin4markets:FinTech,Hospitality,LogisticsandProperty.Ouroperationswithineachservedmarketareorganisedintosectorswith53officesacross13differentcountries.

Sinceourestablishmentin1899,wehaveshownentrepreneurialzealwhichisattheheartoftheeconomicdevelopmentofMauritius.OurCompanyplayedanotableroleinthecreationin1962oftheleadinghotelgroupontheisland,BeachcomberHotels,andin1967ofthenationalcarrier,AirMauritius.

Rogershasalsospearheadedtheinceptionofthelogisticssectorin1975,theGlobalBusinesssectordevelopmentin1992andthebusinessprocessoutsourcingindustrysince1999.

In2004,theDomainedeBelOmbreinauguratedtwoHeritageluxuryhotelsandachampionshipgolfcourseinuniquesurroundings.TheDomainehassincedevelopedfurtherwithnaturetourismactivitiesandVillasValriche,aluxuryresidentialestatecountingamongthelargestIRSschemesontheisland.

53Offices in 13 countries

Rogers at a Glance

Rogers at a Glance

ANNUAL REPORT 2016 - Rogers4

Employees

8,167Rs m

Total revenue

Ourcommercialpropertyarm,Ascenciawaslistedin2008.Thefollowingyear,thelogisticsbusinessesweregroupedunderasingleorganisationandbrand,Velogic.

Ourequitybasewasrestructuredin2012inamaterialtransactionthatsawENLLandacquireamajoritystakeintheCompanywhilespinningoffCimGroup.

OurCompanyupholdstheimportanceofresponsible,sustainableandtransparentpracticesinpromotinggrowthofthebusinessanditsroleintheregion.Wefirmlybelievethatourlong-termsuccessrestsonourcorporatevaluesofLeadership,AgilityandDynamism,whicharedrivenbyaskilledanddiverseworkforceofover4,500directemployees.TheGroup’sinvestmentscontributetoprovidingemploymenttomorethan10,000people.

4,545


MAURITIUS

FRANCE

MOROCCO

SOUTH AFRICA

MOZAMBIQUE

MADAGASCAR

COMOROS

KENYA

REUNION ISLAND

GERMANY

MAYOTTE

UK


Regional ForceRogerscontinuestoexpandbyservingclientsataninternationallevelandensuringthattheexpectedbenchmarksandproductivityaredelivered.Opportunitiestofurtherdevelopourservicesinourfourservedmarketsarereal.

INDIA

SINGAPORE

BANGLADESH


Group Structure

FINTECH

Rogers Capital

Kross Border

Enterprise Information Solutions (EIS)

Activities

Sectors

Key Investments

Swan General

Swan Financial Solutions

AXA Customer Services Ltd.

Financial Services

Technology Services

Note 1: Travel was reported as Aviation up to 30 June 2016.

Group Structure


PROPERTY

Ascencia

Compagnie Sucrière de Bel Ombre (CSBO) - Les Villas de Bel Ombre

LOGISTICS

Velogic

HOSPITALITY

Veranda Leisure & Hospitality (VLH)

Rogers Aviation

Compagnie Sucrière de Bel Ombre (CSBO) - Leisure

Case Noyale Leisure

New Mauritius Hotels

Air Mauritius

Mautourco

White Sand Tours

BlueConnect

Mall of Mauritius at Bagatelle Ltd.

Le Morne Development Corporation (LMDC)

Property Investments2

Property Development & Agribusiness3

Logistics SolutionsHotels

Travel1

Leisure

Note 2: Property Investments was reported as Property up to 30 June 2016.Note 3: Property Development & Agribusiness was reported as Real Estate & Agribusiness up to 30 June 2016.


Group Financial Highlights - 30 June 2016

Return on Equity Cash Dividend YieldDebt/Equity

-19.1%

+14.2%

+7.1%

Revenue (Rs m) 2016: 8,167 2015: 7,151

EBITDA (Rs m) Excluding exceptional items

2016: 1,782 2015: 1,664

Profit after Tax (Rs m) Excluding exceptional items

2016: 787 2015 : 973

Excluding exceptional items

20152016

3.6%

5.0%

20152016

3.1%2.8%

20152016

0.54

0.29

2015

2016

2015

2016

2015

2016

2015

2016

17.42

Price/Earnings

14.03

EPS (Rs)Excluding exceptional items

1.35

1.86

37.60

NAV per Share (Rs)

37.00

0.88

Cash Dividend per Share (Rs)

0.84

Group Financial Highlights


Revenue by Segment

Profit after Tax by Segment (Rs m)

ExclusiveofconsolidationadjustmentofRs260m(2015:Rs407m)

Excludingexceptionalitems

343257 551

1,164

266

2,040

3,125

681

2016

262165 540

508

145

1,860

1,076

2015

3,002

Hotels

Financial Services

Aviation

Corporate Office

Technology

Real Estate & Agribusiness

Property

Logistics

131117

(104) (84)(39)

Corporate Treasury

Corporate Office

2717

Technology156

(85)

Real Estate & AgribusinessFinancial

Services

120

172Hotels

10076

Logistics

594536

Property

1642

Aviation

2016

2015

(32)


Events & Achievements 2015-2016

Tapping into the East African logistics market

VelogiccontinuestogroworganicallybeyondthebordersofMauritius.TheLogisticsbusinesssectorofRogershasacquiredasignificantstakeinGeneralCargoServicesLtdandGencargoTransportLtdinApril2016,twoKenya-basedcompaniesprovidingcustomsbrokerageandroadtransportationservicesrespectively.VelogicisintentoncapitalizingonitsbroadarrayofsupplychainexpertiseandnetworktodiversifytheirservicelinesandultimatelycontinuetoexpandintoborderingEastAfricancountries.

Partnership with Women’s Forum

RogerswasaproudPlatinumPartneroftheWomen’sForumMauritius,whichwasheldon20and21June2016undertheaegisofthePresidentoftheRepublic,MrsAmeenahGurib-Fakim.TheWomen’sForumfortheEconomyandSocietyistheworld’sleadingplatformfeaturingwomen’sviewsandvoicesonmajorsocialandeconomicissues.AfirstintheAfricanregion,theeventbroughttogethersome400participantsfromtheacademic,scientificandbusinesscommunitiesfrom41differentcountriestodiscussthetheme“MeetingtheClimateChallengeforSIDSandAfrica.”ItwasalsoanopportunityforRogerstoshowcasetheGroup’sstrategicmanagementplanforthesustainabledevelopmentoftheDomainedeBelOmbre,includingtheestablishmentofanInteractiveLand&MarineResourceCentre.

Amazing golf experiences

Followingahighlysuccessfulfirstin2015atthemulti-awardwinningHeritageGolfClub,afieldof126golfprosfromtheEuropean,AsianandSunshineTourswerebackinMauritiusthisyearforthesecondeditionoftheAfrAsiaBankMauritiusOpen.Hostedfrom12to15May2016bytheFourSeasonsGolfClubMauritiusatAnahita,thisinternationalcompetitionsawtheyoungSouthKorean,JeunghunWangmakingEuropeanTourhistoryastheyoungestplayertowininconsecutiveweeks.TheHeritageGolfClub,whichwillwelcomethistri-sanctionedtournamentagaininNovember2017,alsoplayedhosttotheinauguralRogersInvitationalon30April2016.

Golf pros

Participants from the global academic, scientific and business communities

126

400

Events & Achievements Events & Achievements 2015-2016


Strengthened financial services capacity

RogersCapitalcontinuesaddingmuscletoitsfinancialservicesbusinessline.Followingtheacquisitionin2015ofacontrollinginterestinConsilexandKrossBorder,theoperationsofthetwoGlobalBusinessManagementCompanieswereconsolidatedunderasingleroofinJanuary2016.InJune,theacquisitionofanothercompany,RiverCourtAdministratorshasfurtherenhancedthecapabilitiesandexpertiseofKrossBorder.

Holidays by BlueSky

Atotalsolutionsproviderfortheaviationandtravelsector,RogersAviationhasrevampeditsoperationalmodeltobettermeetthechangingdemandsofitspartnersandclienteleinMauritiusandtheIndianOceanregion.Sincemid-2016,theHeadOfficehasalsobeenrelocatedfromRogersHousetoGardensofBagatelleandanewloungeconcepthasbeendesignedtoreplacetraditionalairlinecounters.

Taking to the cloud

EnterpriseInformationSolutionshasrecentlyimplementedtheHPHelionplatformtoprovideclientswishingtoembracethecloudwiththeflexibilityandagilitytounleashtheinnovationrequiredtogrowtheirbusiness.Thisleadinginformationtechnology-enabledsolutionsandoutsourcingservicesproviderinMauritiusandtheIndianOceanregion,drawsontheextensiveskillsandexpertiseofitsteamofspecialiststooffermanagedprivatecloudinfrastructureservicesthataretailoredtothespecificrequirementsofeachcustomer.

Port Louis under a new light

ThePorlwibyLightFestivalofContemporaryCulture,whichtookplacebetween4and6December2015,hasbeenanoverwhelmingsuccess.The450,000localsandtouristswhotooktothestreetsoverthethreedayshavehadtheopportunitytoexperiencethehistoricandculturalheritageofthecapitalcityofMauritiusunderanewlight.RogerspartneredwiththeeventthroughsponsoringtheprojectionofimagesoftheiconicdodoonthefaçadeoftheNaturalHistoryMuseum.“People”isthecentralthemechosenbytheorganisers,MoveforArt,forthesecondeditionthisyear.

Committing to society and the environment

TheRogersFoundationcontinuesitseffortsonthesocialandenvironmentalfrontinlinewiththecorporatesocialresponsibilitycommitmentoftheGroup.TheOLEALivingTogethersocialprogramme,whichwascompletedinOctober2015,hasgivenhopeforabetterlifeandthemotivationtomoveoutofabsolutepovertytosome40underprivilegedfamiliesintheVuillemin-Almaregioninthecentreoftheisland.TheFoundationhasalsoprovidedfundinginearly2016toastudyonthestateofthelagoonofBelOmbre,whichhassubsequentlyledtothedevelopmentofaLagoonManagementPlanforamoresustainableuseofthispreciousnaturalresource.

Locals and tourists took to the streets of Port Louis over three days

450,000

Events & Achievements 2015-2016


Leadership

Energy drives dynamism.

ADAM, GUYIndependentDirector

DE LABAUVE D’ARIFAT, PATRICKIndependentDirector

BUNDHUN, ZIYADExecutiveDirectorandChiefFinanceandInvestmentExecutive

ESPITALIER-NOËL, ERICNon-ExecutiveDirector

Our Board of Directors



Key:

CGC: Corporate Governance Committee

RMAC: Risk Management and Audit Committee

BUNDHUN, ZIYAD(Born in 1964)ExecutiveDirectorandChiefFinanceandInvestmentExecutive

ADAM, GUY(Born in 1950)IndependentDirector

DE LABAUVE D’ARIFAT, PATRICK(Born in 1958)IndependentDirector

ESPITALIER-NOËL, ERIC(Born in 1959)Non-ExecutiveDirector

APPOINTMENT18October2012

QUALIFICATIONS•MemberoftheInstituteof

CharteredAccountantsinEnglandandWales.

PROFESSIONAL JOURNEY•Articleshipandqualificationin

LondonwithBrightGrahameMurray,CharteredAccountantsbetween1984and1990.

•StartedhiscareerwithDeloitte&ToucheintheMiddleEastandmovedtoErnst&YounginMauritiusin1993.

•JoinedtheMauritiusofficeoftheInternationalTrustServicesGroup,MutualTrustin1995.

•FoundedtheMauritiusofficeoftheInternationalAuditandConsultingGroup,Mazarsin2002.

•JoinedtheCorporateBankingDivisionoftheMauritiusCommercialBankin2005.

•WasappointedManagingDirectorofMCBCapitalPartnersLtd,theprivateequityarmoftheMCBGroupin2006.

•JoinedRogersandCompanyLimitedasChiefFinanceandInvestmentExecutiveinOctober2011.

SKILLS•Strategydevelopmentand

executionexperience•Financialmanagement•Corporatefinance•Privateequity

CURRENT EXTERNAL COMMITMENTS•None

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•AscenciaLimited

APPOINTMENT5October1994CGC – Member

QUALIFICATIONS•DoctorofMedicine(MD).•FellowshipoftheRoyalCollegeof

Surgeons(FRCS).

PROFESSIONAL JOURNEY•AppointedFellowofthe

AssociationofSurgeonsofGreatBritainandIreland.

•PractisingasaConsultantGeneralSurgeoninMauritiussince1988.

SKILLS•Broadly-basedNEDexperience

acrossdiversesectors•Over20yearswiththeGroup

withadetailedknowledgeofitsoperations

•Extensiveknowledgeofcorporategovernance

CURRENT EXTERNAL COMMITMENTS•MedicalAdvisertoSwanHealth

Insurance•MemberoftheBoardofDirectors

oftheMedicalandSurgicalCentreandchairsitsCGandEthicsCommittees

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•None

APPOINTMENT18October2012RMAC – Member

QUALIFICATIONS•BScdegreeinEconomicsand

Accountancy(CityUniversity,London).

PROFESSIONAL JOURNEY•Startedhiscareerwiththe

MauritiusChamberofAgriculturein1982.

•WasappointedDirectoroftheMauritiusSugarProducers’Association(MSPA)in1991.

•ChairedtheMSPAforthreeyearsandtheMauritiusSugarSyndicatefortwoyears.

•InJuly2001,hejoinedCIELAgro-IndustryasChiefExecutiveOfficer.

SKILLS•CEOexperienceacrossdiversified

sectors•Extensiveexperienceinboth

generalandfinancialmanagement•Stronginterpersonalskills

CURRENT EXTERNAL COMMITMENTS•CEOofAlteoLtd

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•AlteoLtd

APPOINTMENT2February1994CGC – Member

QUALIFICATIONS•Bachelor’sdegreeinSocial

Sciences(UniversityofNatal,SouthAfrica)

•Master’sdegreeinBusinessAdministration(UniversityofSurrey,UK)

PROFESSIONAL JOURNEY•WorkedwithDeChazalduMée

&Co.,CharteredAccountantsinMauritiusandwithIndianOceanExportCo.LtdinSouthAfrica.

•JoinedtheENLGroupin1986.•AppointedExecutiveDirectorof

ENLLtdin1987.

SKILLS•Wellversedincorporate

governancematters.•Strongmarketing,portfolio

developmentandcommercialskills.

•Valuableexperienceacrossseveralsectors.

CURRENT EXTERNAL COMMITMENTS •ChiefExecutiveOfficerof

ENLCommercialLtd•MemberoftheNational

CommitteeonCorporateGovernance

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•AutomaticSystemsLtd

(Chairman)•ENLCommercialLimited•ENLLimited•ENLLandLtd•LesMoulinsdelaConcordeLtée•LivestockFeedLimited


ESPITALIER-NOËL, HECTORNon-ExecutiveDirector

ESPITALIER-NOËL, GILBERTNon-ExecutiveDirector

ESPITALIER-NOËL, PHILIPPEChiefExecutiveOfficerandExecutiveDirector

FORGET, PHILIPPEIndependentDirector



ESPITALIER-NOËL, HECTOR(Born in 1958)Non-ExecutiveDirector

ESPITALIER-NOËL, GILBERT(Born in 1964)Non-ExecutiveDirector

ESPITALIER-NOËL, PHILIPPE (Born in 1965)ChiefExecutiveOfficerandExecutiveDirector

FORGET, PHILIPPE (Born in 1950)IndependentDirector

APPOINTMENT22December1987



PROFESSIONAL JOURNEY•WorkedforCoopers&Lybrandin

London.•WorkedwithDeChazalduMéein

Mauritius.•PastChairmanoftheBoardof

RogersandCompanyLimited.•PastPresidentoftheMauritius

ChamberofAgriculture.•PastPresidentoftheMauritius

SugarProducers’Association.•PresidentoftheMauritiusSugar

Syndicate.

SKILLS•CEOexperienceacrossdiversified

sectors.•Significantexperienceinalliances,

venturesandpartnerships.•Strongfinancialskillsandstrategic

understanding.

CURRENT EXTERNAL COMMITMENTS •CEOoftheENLGroup•ChairmanofNewMauritiusHotels

Ltd•ChairmanofBelOmbreSugar

EstateLtd

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•AscenciaLimited•ENLLimited•ENLCommercialLimited•ENLLandLtd•NewMauritiusHotelsLtd•TropicalParadiseCo.Ltd•SwanLifeLtdandSwanGeneral

Ltd

APPOINTMENT15July1999

QUALIFICATIONS•BSc(UniversityofCapeTown,

SouthAfrica)•BSc(Hons)(LouisianaState

University,USA)•MBA(INSEADFontainebleau,

France)

PROFESSIONAL JOURNEY•JoinedFoodandAlliedGroupin

1990.•WasappointedGroupOperations

Directorin2000.•JoinedtheENLGroupinFebruary

2007.•WasChiefExecutiveofENL

PropertyLtd.

SKILLS•PastPresidentofvariousprivate

sectorinstitutions(includingMCCI,JEC,etc.).

•Experiencednon-executivedirectorinseveralsectors.

•DetailedknowledgeoftheGroup.•SignificantM&Aexperiencelocally

andregionally.

CURRENT EXTERNAL COMMITMENTS•CEOofNewMauritiusHotelsLtd

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•ENLCommercialLimited•ENLLandLtd•ENLLimited•NewMauritiusHotelsLtd•LivestockFeedLimited

APPOINTMENT6February2004CGC – Member

QUALIFICATIONS•BScinAgriculturalEconomics

(UniversityofNatal,SouthAfrica)•MBA(LondonBusinessSchool)

PROFESSIONAL JOURNEY•WorkedforCSCIndexinLondon

asManagementConsultantfrom1994to1997.

•JoinedRogersin1997.•WasappointedChiefExecutive

OfficeroftheRogersGroupin2007.

SKILLS•Provenexperienceofmergersand

acquisitions,businessturnaroundandtransformation.

•Extensiveexpertisewithstrategydevelopmentandexecution.

•InspiringleadershipwithseniormanagementintheGroup’sfourservedmarkets,FinTech,Hospitality,LogisticsandProperty.

CURRENT EXTERNAL COMMITMENTS•ChairmanofAscenciaLimited

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•AirMauritiusLimited•AscenciaLimited•ENLLimited•SwanLifeLtdandSwanGeneralLtd

APPOINTMENT10September2015RMAC – Member (from 10 December 2015)

QUALIFICATIONS•BSc(1stClassHonours)in

Computational&StatisticalScience(LiverpoolUniversity,UK)

•MSc(withdistinction)inManagement&OperationalResearch(ImperialCollege,London)

PROFESSIONAL JOURNEY•StartedhiscareeratManagement

&DevelopmentCompanyLtd(“MADCO”),theholdingcompanyofthelargestagro-manufacturinggroupontheisland.

•WasthefirstGeneralManagerofMaurilaitLtd.

•WorkedattheMauritiusCommercialBankLtdfor36yearsandretiredasDeputyChiefExecutive–Bankingin2013.

•Followinghisretirement,hejoinedLaSentinelleLtdasExecutiveChairman.

•Foundingmember,DirectorandpastChairmanofLeBocageInternationalSchool,ClavisPrimarySchoolandSpecialEducationNeedsSociety.

•WasalsoaDirectorof‘RUTH’,ahomefortheelderly.

SKILLS•Practicalknowledgeofriskassessment

andmanagementsystems.•Substantialinternationalstrategic

experience.•Strongtrackrecordinbothgeneraland

financialmanagement.

CURRENT EXTERNAL COMMITMENTS•ExecutiveChairmanat

LaSentinelleLtd

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•None


MASSON, VIVIANIndependentDirector

REY, ALAINIndependentDirector

MONTOCCHIO, JEAN-PIERREChairmanandIndependentDirector

RADHAKEESOON COLLENDAVELLOO, ARUNAExecutiveDirectorandChiefLegalExecutive



REY, ALAIN(Born in 1959)IndependentDirector

MASSON, VIVIAN(Born in 1956)IndependentDirector

MONTOCCHIO, JEAN-PIERRE(Born in 1963)ChairmanandIndependentDirector

APPOINTMENT 4December2012RMAC – Chairman



•GraduatedinEconomicsfromtheLondonSchoolofEconomicsandPoliticalScience.

PROFESSIONAL JOURNEY•WorkedatCitiBankN.A.(France).•WastheRegionalCorporate

DirectorofBarclaysBankPlc(MauritiusBranch).

•HasbeentheSeniorVicePresidentandChiefFinancialOfficerofNovelDenimHoldingsLtd,aNasdaq-listedcompany.

•HasbeentheCEOofCompagniedeMontChoisyLtée,agroupofcompaniesinvolvedinagriculturalandpropertydevelopmentactivities.

SKILLS•Detailedknowledgeofrisk

assessmentandmanagementsystems.

•Broadly-basedNEDexperienceacrosstheprivateandpublicsectors.

•Strongstrategicunderstandingandfinancialskills.

CURRENT EXTERNAL COMMITMENTS•Non-executiveChairmanof

TerraMauriciaLtd(asfrom11July2016)

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•CielTextileLtd•MCBGroupLtd•TerraMauriciaLtd

APPOINTMENT10September2015RMAC – Member (from 10 December 2015)

QUALIFICATIONS•MastersinEconomics(Universityof

Paris-Assas).•Diplômed’EtudesComptables

Supérieures(DECS,France).

PROFESSIONAL JOURNEY•Startedhiscareerwith

PriceWaterhouseinParisandthereafterworkedintheVanuatuandLyonbranches.

•JoinedPfizerMedicalTechnologyGroupasFinanceDirectorin1985.

•WorkedasGeneralManagerofAllianceSpinnersLtdinMauritiusoverthefouryearsto1991.

•WasManagingDirectorofHowmedicaFrance,acompanyofthePfizerMedicalTechnologyGroup.

•From1998to2015,hewasPresidentofStrykerTrauma&Extremities,adivisionofStrykerCorporationdeveloping,manufacturingandmarketinggloballytechnologiesforsurgicaltreatmentofbonefracturesanddeformitycorrections.

SKILLS•Manyyearsofoperatingwithin

internationalbusinesseswithculturaldiversity.

•Knowledgeandexperienceofacquisitionanddisposalofbusinessesininternationalmarkets.

•Manyyearsofleadershipinthemedtechindustry,creatingsuccessfulR&Dinnovation,world-classmanufacturingfacilitiesandsalesexecutionexcellence.

CURRENT EXTERNAL COMMITMENTS •ExecutiveAdviseratStryker

Corporation

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES •None

APPOINTMENTDirector:25March2002Chairman:9November2012CGC – Chairman

QUALIFICATIONS•NotaryPublicinMauritius

PROFESSIONAL JOURNEY•ParticipatedintheNationalCommittee

onCorporateGovernanceasamemberoftheBoardofDirectors’Sub-Committee.

SKILLS•Wellversedincorporategovernance

matters.•Broadly-basedNEDexperienceacross

theprivateandpublicsectors.•Significantexperienceinalliances,

venturesandpartnerships.

CURRENT EXTERNAL COMMITMENTS•ChairmanofPromotionand

DevelopmentLtd•ChairmanofCaudanDevelopmentLtd•ChairmanofFincorpInvestmentLtd

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•CaudanDevelopmentLtd•ENLLandLtd•FincorpInvestmentLtd•LesMoulinsdelaConcordeLtée•NewMauritiusHotelsLtd•PromotionandDevelopmentLtd•MCBGroupLtd

RADHAKESSOON COLLENDAVELLOO, ARUNA(Born in 1970)ExecutiveDirectorandChiefLegalExecutiveAPPOINTMENT18October2012

QUALIFICATIONS•BA(Hons)inJurisprudence(Balliol

College,OxfordUniversity)•SolicitorofEnglandandWales

(NP)•Attorney-at-law(Mauritius)

PROFESSIONAL JOURNEY•Two-yeararticleshipwithSinclair,

RocheandTemperley,aSolicitors’FirminthecityofLondon

•JoinedRogersasProjectAnalystin2001

•InJuly2001,shewasappointedGroupCompanySecretary

•ShewasappointedChiefLegalExecutivein2007

SKILLS•Transactionallawyerwithover

15years’experienceintheGroupandwellversedinmergersandacquisitions.

•Extensiveexperienceofboardpractices,corporategovernance,FSCandstockmarketrequirements

•Growingpeopleandinspiringteamssuccessfully

CURRENT EXTERNAL COMMITMENTS•ViceChairmanoftheCentral

Depository&SettlementCo.Ltd•MemberoftheNational

CommitteeonCorporateGovernance

•FellowMemberoftheMauritiusInstituteofDirectors

CURRENT EXTERNAL APPOINTMENTS IN LISTED COMPANIES•MauritiusDevelopmentTrust

CompanyLtd


1. Karine Curé Chief Marketing and Communication Executive

2. Frédéric Tyack Chief Executive Officer – Ascencia

3. Didier Lenette Head of Global Business

4. Philippe Espitalier-Noël Chief Executive Officer

5. Manish Bundhun Chief Human Resources Executive

6. Damien Mamet Chief Projects and Development Executive

7. Kabir Ruhee Chief Executive Officer - Technology

Our Executive Team

10

9

8

7

2

3

1

Our Executive Team


11

4 5

6

13

14

12

8. Alexandre Fayd’Herbe Chief Executive Officer – Travel and Aviation

9. Richard Koenig Chief Executive Officer – Real Estate and Agribusiness

10. Ziyad Bundhun Chief Finance and Investment Executive

11. Aruna Radhakeesoon Collendavelloo Chief Legal Executive

12. Vishal Nunkoo Chief Executive Officer – Logistics

13. Riaz Chitamun Head of Internal Audit and Risk Management

14. François Eynaud Chief Executive Officer – Hotels


Profiles of Chief Executive Officers

FAYD’HERBE DE MAUDAVE, ALEXANDREChiefExecutiveOfficer–TravelandAviation

EYNAUD, FRANÇOISChiefExecutiveOfficer–Hotels

KOENIG, RICHARDChiefExecutiveOfficer–RealEstateandAgribusiness

NUNKOO, VISHALChiefExecutiveOfficer–Logistics


FAYD’HERBE DE MAUDAVE, ALEXANDREChiefExecutiveOfficer–TravelandAviation

NUNKOO, VISHALChiefExecutiveOfficer–Logistics

EYNAUD, FRANÇOISChiefExecutiveOfficer–Hotels

KOENIG, RICHARDChiefExecutiveOfficer–RealEstateandAgribusiness

Bornin1967,AlexandreholdsaBCom(Hons)andisaqualifiedCharteredAccountantfromtheSouthAfricanInstituteofCharteredAccountants.HeworkedinSouthAfricaforaperiodof7yearswithArthurAndersenpriortojoiningRogersAviationin2001asGeneralManager–Finance&Administration.HewasappointedManagingDirectorofRogersAviationinOctober2006andChiefExecutiveOfficerinOctober2010.

Other directorships in listed companies:None

Bornin1969,VishalholdsanMScinEngineeringfromtheOdessaTechnologicalInstituteofFoodIndustry(ex-USSR)andaMaster’sdegreeinBusinessAdministrationfromtheUniversityofMauritius.HealsofollowedExecutiveTrainingProgrammesattheLondonBusinessSchool.HejoinedRogersin1993andhassinceworkedasProjectManager,DeputyGeneralManagerofRIDSMadagascar,GeneralManagerofEnterpriseInformationSolutionsLtdandCorporateManager–StrategicPlanning.HewasappointedChiefExecutiveOfficerofVelogicLtdinJuly2011.


Bornin1961,Françoisholdsa“Diplômed’ÉcoledeCommerce”.HestartedhiscareerwithSagem(France)asExportDirectorandwassubsequentlyappointedsuccessivelyCountryManagerofSagemintheCaribbeanIslandsandinEngland.HereturnedtoMauritiusin1991tojoinCielTextileasMarketingDirectorandwaspromotedExecutiveDirectorofTropicKnitsin2000.HetookonthepositionofManagingDirectorofVerandaResortsinAugust2008andbecameChiefExecutiveOfficerofVerandaLeisure&HospitalityinOctober2010.


Bornin1964,RichardholdsaBScElectronicEngineeringandanMBA.HestartedhiscareerasManagementInformationConsultantwithAndersenConsultinginSouthAfricaandmovedtoMauritiusin1993.HejoinedtheENLGroupin1994asaCorporateExecutiveandwassubsequentlyappointedChiefExecutiveOfficerofSouthWestTourismDevelopmentinJuly2009.




RUHEE, ASHLEY COOMARChiefExecutiveOfficer-Technology

TYACK, FRÉDÉRICChiefExecutiveOfficer–Ascencia

LENETTE, DIDIERHeadofGlobalBusiness

TYACK, FRÉDÉRICChiefExecutiveOfficer–Ascencia

Bornin1969,FrédéricismemberoftheInstituteofCharteredAccountantsinEnglandandWalesandholdsaBSc(Hons)degreeinAccountingandFinancefromtheLondonSchoolofEconomics.HeworkedwiththeRogersGroupfrom1997to2004asManagingDirectoroftheLogisticsub-cluster.HejoinedPlastinaxAustralLtdin2004asGeneralManagerbeforemovingtoENLPropertyLtdin2008.Hewasappointedin2011asManagingDirectorofEnAtt,theAssetandPropertyManagementCompanyofENLGroup.HeiscurrentlyadirectorofENLPropertyLtdandtheChiefExecutiveOfficerofAscenciasinceJuly2015.

Other directorship in listed companies:AscenciaLtd

RUHEE, ASHLEY COOMARChiefExecutiveOfficer-Technology

Bornin1977,AshleyCoomarholdsafirstdegreeinMathematicsandPhysicsfromtheFacultédesSciencesdeLuminy,MarseillesandanM.EnginAutomaticControl,ElectronicsandComputerEngineeringwithspecialisationinRealTimeComputingandSystemsfromtheInstitutNationaldesSciencesAppliquées,Toulouse.HealsocompletedExecutiveEducationProgrammesattheLondonBusinessSchoolandatINSEAD.Heworkedfrom2000to2004forCapgeminiTelecom,MediaandEntertainment-CentralandSouthernEuropeasaTechnologyConsultantinParis.In2005,hejoinedDCDMConsulting,acompanymanagedbyAccenture,asamanagerintheirbusinessconsultingserviceline.

HejoinedRogersin2007andheldthepositionofChiefInformationandPlanningExecutiveofCimGroupsince2008.HewasalsoappointedManagingDirectorofEnterpriseInformationSolutionsLtdin2009.HeistheChiefExecutiveOfficeroftheRogersTechnologysectorsince2012andwasconcurrentlyappointedManagingDirectorofAXACustomerServicesLtd,ajointventurecompanyofAXAAssistanceandRogers.HewasselectedbytheInstitutChoiseulforInternationalPoliticsandGeoeconomicsasoneofthe200youngAfricanEconomicLeadersoftomorrowfortwoconsecutiveyears.


LENETTE, DIDIERHeadofGlobalBusiness

Bornin1976,DidierholdsaBachelorofCommerce(EconomicsandFinance)fromtheUniversityofWesternSydney(Australia)andaMasterinInternationalTaxationfromtheUniversityofNewSouthWales(Australia).HeisalsoaFellowoftheInstituteofCharteredAccountantsinEnglandandWalesandaMemberoftheMauritiusInstituteofDirectors.DidierisaCharteredAccountantandTaxProfessionalwithastrongbackgroundinaudit,risk,complianceandinternationaltaxation.HehasacquiredextensiveexperiencebothinMauritiusandinternationallyinseniorroleswithPwC(Mauritius,Australia)andErnst&Young(UK,Australia)amongothers,includinghisleadershippositionasSeniorTaxSpecialistwithArrowEnergy(aShellPetrochemicalsOil&GasVenture)inBrisbane,Australia.DidierjoinedRogersasHeadofInternalAuditandRiskManagementin2014andiscurrentlyHeadofGlobalBusiness.



Profiles of Function Executives

BUNDHUN, MANISHChiefHumanResourcesExecutive

CHITAMUN, RIAZHeadofInternalAuditandRiskManagement

MAMET, DAMIENChiefProjectsandDevelopmentExecutive

CURÉ, KARINEChiefMarketingandCommunicationExecutive

Profiles of Function Executives

CHITAMUN, RIAZ1

HeadofInternalAuditandRiskManagementBUNDHUN, MANISHChiefHumanResourcesExecutive

Bornin1978,RiazisafellowmemberoftheAssociationofCharteredCertifiedAccountants(ACCA)andamemberoftheInstituteofCertifiedForensicAccountants.HestartedhiscareerwithBDODeChazalduMéein1999beforemovingtoAfricain2004.HeworkedasFinanceandAdministrationManageroveraperiodoftenyearsbothinEastandWestAfrica.In2014,hejoinedAXACustomerServicesLimitedasChiefFinanceOfficerandwasappointedHeadofInternalAuditandRiskManagementofRogersinMay2016.


CURÉ, KARINE2

ChiefMarketingandCommunicationExecutive

Bornin1978,KarineholdsanExecutiveMaster(MSc)inMarketing(Hons)fromtheUniversityofParis-Dauphine(France)andaBSc.ShestartedhercareerinthefieldofcommunicationinParisandhasworkedinMauritiusinthetourism,leisureandhotelsectors.KarinejoinedtheGroup’sHotelssectorinFebruary2008asMarketingandCommunicationManagerandwassubsequentlyappointedCorporateManageratRogersinOctober2015andChiefMarketingandCommunicationExecutiveinJuly2016.


Bornin1979,ManishholdsaMaster’sdegreeinBusinessAdministrationandaBSc(Hons)Management.HestartedhiscareerinthefieldofHumanResourcesandhashadavariedexposureinthetelecommunications,ICTandaviationindustries.HejoinedtheGroup’sLogisticssectorinJanuary2006asDivisionManager–HumanResourcesandwassubsequentlyappointedChiefHumanResourcesExecutiveofRogersinSeptember2008.HeholdsaCertifiedMastersinNLP(NeurolinguisticProgramming)andinNeuro-SemanticsandisacertifiedAgilityCoachandTrainer.ManishisalsoaCo-activeCoachfromtheCoachTrainingInstitute(CTI).HeactsasanExecutiveCoachanddeliversexecutiveleadershipandteamcoachingworkshops.HealsopractisesasadjunctprofessorinHumanResourcesManagementandOrganisationDevelopmentatpostgraduatelevel.


MAMET, DAMIENChiefProjectsandDevelopmentExecutive

Bornin1977,DamienisamemberoftheInstituteofCharteredAccountantsinEnglandandWales(ICAEW).HestartedhiscareerwithErnst&YounginLondonin1999andmovedtoBDODeChazalduMéeinMauritiusin2003.HetookonthepositionofManagerofCorporateFinancewithPricewaterhouseCoopersin2006.HejoinedRogersin2009asManagingDirectorofForesiteFundManagementandwasappointedChiefProjects&DevelopmentExecutiveofRogersinOctober2014.

Other directorships in listed companies:AscenciaLtd

1.RichardLeBoutetheldthepositionofHeadofAuditandRiskManagementupto

31March2016.RiazChitamuntookoverthefunctionofHeadofInternalAuditandRisk

Managementasfrom1May2016.

2.KaushallRamlackhanheldthepositionofChiefCommunicationExecutive

upto31December2015.KarineCurétookoverthefunctionofChiefMarketingand

CommunicationExecutiveasfrom1July2016.


Strategic Focus

Energy drives agility.

Board of Directors’ Report

DearShareholders,

ItgivesusgreatpleasuretopresentyouwithourAnnualReportforthefinancialyearended30June2016.Thisyearwascharacterisedbyacontinuationofoureffortstoconsolidatethefoundationforperformanceandprofitablegrowth.

Intheyearunderreview,theglobaleconomycontinuedtoexperiencemoderategrowth.Whileaggregatedemandimprovedinadvancedeconomies,developingandemergingeconomiescontinuedtoexperiencetheimpactofreducedrevenuefromlowercommodityprices.ThereferendumvoteinJune2016infavourofthewithdrawaloftheUnitedKingdomfromtheEuropeanUnionhascausedadeteriorationinmarketsentiment,whichwasreflectedbytheplummetingby11%ofGBPagainstUSDoverthelastweekofthesamemonth.

Thedomesticmarket,foritspart,recordedeconomicgrowthof3.5%in2015,mainlydrivenbyfinancialservicesandtourism.Thehospitalitysectornamelyhasbenefitedfroman11%increaseintouristarrivalsovertheyear.However,theconstructionsectorcontinuedtoslowdownandthelocalcurrencydepreciatedby2%againstEURandUSDoverthefinancialyearwhileappreciatingby13%againstGBPduetotheimpactoftheBrexitvote.Earlierthiscalendaryear,theGlobalBusinesssectorhasalsodealtablowwiththerenegotiationoftheIndia-Mauritiustaxtreaty.

Overtheyear,a14%improvementinGrouprevenuestemmedfromallsectors,exceptRealEstateandAgribusiness.Theincreaseinrevenuewasprimarilydrivenbythefirsttimeinclusionoffull-yearresultsfromrecentlyacquiredGlobalBusinesscompaniesandtheconsolidationofanowcontrollingstakeinBagapropLimited.

ProfitafterTax(PAT)excludingexceptionalitemsamountedtoRs787millionagainstRs973millionin2015.ThisreductionismainlyduetoanexceptionalgainfromthesaleoflandandsignificantfairvaluegainsbookedinFY2015.However,PATfortheyearexcludingthecontributionfromtheRealEstateandAgribusinesssectorshowsarespectable7%increase.

EarningspershareexcludingexceptionalitemswentdowntoRs1.35againstRs1.86in2015.TheGroup’sNetAssetValueasat

30June2016stoodatRs37.60,representinganimprovementfromRs37.00lastyear.ThedividendpersharewasRs0.88againstRs0.84inthe2015financialyear,equatingtoadividendyieldof3.1%basedonthesharepriceofRs28.00asat30June2016.

TherehavebeensignificantdevelopmentsintheFinancialServicessectorduringthefinancialyearwiththemergingofConsilexintoKrossBorder,whosecapabilitiesandexpertisewerefurtherconsolidatedthroughtheacquisitionofanotherManagementCompany,RiverCourtAdministratorsLtdinJune2016.OurTechnologysectorhasalsorecentlyimplementedtheHPHelionplatformtoprovideclientswithmade-to-measureprivatecloudinfrastructureservicesthroughCloud24.

OntheHotelsfront,PATofVLHmorethandoubledtoRs177millionovertheyear.Thekeygrowthdriverswereanincreaseintouristarrivals,improvedairaccess,betteroccupancyratesandbetterpositioningofourbrands.OverallPATfortheHotelssectorwashoweverpulleddownduetoanegativecontributionofourassociate,NewMauritiusHotelsLtd.

Pursuingitsregionalexpansionstrategy,theLogisticssectorhaspartneredwithTheKiboFundtosecureacontrollingstakeintwocompaniesinKenyawithoperationsincustomsclearanceandtransportrespectively.TheircombinedbusinessrepresentaturnoverofUSD8.5millionandaworkforceof200people.

InthePropertysector,AscenciahasconsolidateditsportfoliothroughraisingitsshareholdinginBagatelleMallofMauritiusto85%andacquiring100%sharecapitalofTheGardensofBagatelle.TheseoperationswerefundedfromtheproceedsofasuccessfulfundraisingofmorethanRs1billiononthemarket.Inaddition,ourfully-ownedsubsidiary,ForesitePropertyHoldingLtdhasacquireda25%stakeinMallofMauritiusatBagatelleLtd.

Ontheoutlookside,theoverallsituationoftheworldeconomyremainschallengingforthecalendaryear2016withtheInternationalMonetaryFundnotchingdownitsgrowthforecastby0.1%to3.1%,theslowest




growthratesincethefinancialcrisis.TheBrexitvoteisalsoexpectedtofurtherimpacttheglobaloutlook.

Growthinthedomesticeconomyisexpectedtobearound3.8%in2016and4.2%in2017.TherecentnationalbudgethassetthebaseforfurtherdevelopmentofMauritiusasanInternationalFinancialCentrethroughincentivestofurtherpromoteandcreatesubstanceasaGlobalBusinessjurisdiction.ThiscouldhelpoffsetpotentialsetbacksfromtherenegotiationoftheIndia-Mauritiustaxtreaty.Thesettingupofaninternationalderivativesandcommoditiesexchangeisalsounderconsideration.Theprospectsforthetourismsectorareveryoptimisticwitharrivalsforecastedtogrowbyaround8%in2016.

OurGroupisnowpositionedasanInternationalServicesandInvestmentCompanyfocusingonservingfourmainmarkets,whichareFinTech,Hospitality,LogisticsandProperty.AnewimagecampaignhasalsobeenlaunchedrecentlywithEnergyasthemaintheme.Allofthisbodeswellforthefuture.

WewouldliketopaytributetoGillesKaba,Velogic’sex-RegionalManager–Europe,whopassedawayduringthefinancialyear.HewillberememberedforhislongandeffectivecontributiontothedevelopmentofourLogisticsbusinessinFranceandbeyond.

Wethankourshareholdersfortheircontinuedtrustandsupport,andweextendourthankstoourChiefExecutiveOfficer,PhilippeEspitalier-Noël,hismanagementteamandtheentireRogerspersonnelfortheirenergy,hardworkanddedication.

Sincerelyyours,

TheBoardofDirectors


Interview with the CEO


The CEO of Rogers reviews the financial year that has gone by and outlines the Group’s performance, strategy and key priorities going forward.

How would you reflect on the year that just passed?

Duringthefinancialyear2015-2016,wecontinuedto

seemodestandunevengrowthintheglobaleconomy.

Atanationallevel,thehospitalitysectoratlarge

hasbenefitedfromthespillovereffectsofgrowth

intouristarrivals.However,therenegotiationand

signingofaprotocolamendingthe33-year-oldIndia-

Mauritiustaxtreatywillhaveanon-negligibleimpact

onourpositionasapreferredjurisdictiontoinvestin

theIndianmarketandonourpastmodelfortheGlobal

Businesssector.

Theinternationalscenewaslargelydominatedby

thedecisionoftheUnitedKingdomtoleavethe

EuropeanUnion.Althoughthefullpictureofthepost-

Brexitlandscapeisyettoemerge,wearealready

experiencingtheimpactofaweakeningGBPinour

hotelsandsugarpackingactivities.

Inspiteofthemacroeconomiccontext,theoverall

performanceoftheGrouphasbeeninlinewith

expectations.Revenuehasimprovedby14%to

Rs8,167millionduringthepastyearandprofitlevels

formostofouroperationshavewitnessedsatisfactory

growth.GroupProfitafterTax(PAT)fromoperations,

excludingthecontributionfromourlistedassociates

andtheRealEstateandAgribusinesssector,improved

by30%.Additionally,theperformanceofourassociate

investment,NewMauritiusHotelsLtd(NMH)was

impactedbyone-offchargesandreorganisationcosts

incurredovertheperiodended30June2016.The

operationalresultsofthehotelgroupremainsolidand

weareconfidentthatNMHwilldelivermuchimproved

resultsinthecomingyears.Overthefinancialyear,we

participatedintheissueofpreferencesharesofNMH

andfurtherconsolidatedourequitystakefrom17.6%

to19.3%.TheresultsforRealEstate&Agribusiness

sectorinFY2015includedsignificantfairvaluegains

aswellasanexceptionalincomefromsaleofland.

OverallPATfortheyearamountedtoRs787million.

Fromastrategicperspective,wecontinuedto

advanceourgrowthstrategyanddevelopour

leadershiptalenttoensureRogersiswell-positioned

forlong-termsuccess.Wehave,amongstothers,

acquireda51%stakeinalogisticsoperatorinKenya14%

Revenue has improved by

Interview with the CEOPhilippe Espitalier-Noël


toanchorourexpansionintoEastAfrica,andourAviationsectoris

revampingitsbusinessmodeltobetteradapttoevolvingmarket

trends.OurGlobalBusinessactivityhasalsobuiltadditionalmuscle

throughtheamalgamationofexistingservicesaswellasthelaunch

ofRogersCapital.OnthePropertyside,Ascenciahasacquiredan

additional34.9%stakeinBagapropLtdtoincreaseitsholdingstake

to85%,andhasalsoacquiredthefullstakeofGardensofBagatelle.

Followingthesedevelopments,Ascenciahasnowbecomethesecond

largestcapitalisationonthesecondarystockmarket.

What were the Group’s major operational highlights?

Wesawbetterperformancefrommostofoursectorsthisyearandour

hotelshaveparticularlybenefitedfromthecombinedeffectofastrong

upturninthetourismindustryandtheconsiderableeffortsexpended

intheleaneryears.Allkeyindicatorsarepointingintherightdirection

andVLHhasproducedoneofthebestperformancesintheindustryin

2015-2016withamorethantwofoldincreaseinPAT,whichproves

usrightincontinuingtobelieveinthepotentialofthesectorwhen

prospectswerebleak.

Additionally,Ascenciahasthisyearagainmadeasignificantcontribution

toourprofits.Ourshoppingmallshaverecordedanaveragemonthly

footcountinexcessof1.5millionandwereclosetofulloccupancy.

AscenciaalsomanagedtoraisefundinginexcessofRs1billiondespite

subduedlocalcapitalmarketconditions.

OurFinancialServicesandTechnologysectorshavedeveloped

significantly,especiallysincetheexpirationofournon-compete

agreementwithCimGroup.Wehavebeenworkinginrecentmonthson

shapingupanewbrandidentityforRogersCapital,whichwillcombine

thestrengthsandcapabilitiesofthetwosectorsandaddnewlayersof

servicestomakeusamajorplayerwithauniqueservicepropositionin

theFinTechindustryinMauritiusandbeyond.

Major developments have been announced recently for the Domaine de Bel Ombre. Could you tell us more about this?

Aquantumshifthasbeenunderwaysincetheturnofthemillennium

totransformtheDomainefromatraditionalsugarcane-growingregion

intoapreservedhigh-endtourism,leisureandculturaldestination.

SomeRs12billionhavealreadybeeninvestedtodateandweare

rollingoutacompellingvisionandanambitiousthree-yearplan

towards2020.Theroadmapforachievingabalancedandsustainable

economic,environmental,socialandculturaldevelopmentthroughan

integratedstringofconcreteactionsisbeingimplemented.

Thiscomprehensiveprogrammewillprovideanintegratedapproach

totheplanning,managementandpromotionofthelandandmarine

environmentofDomainedeBelOmbretobalancetheconservationof

naturalresourceswiththeimpactofhumanactivities.AnInteractive

LandandMarineResourceCentrewillbedeployedinconjunction

withnewexperiencesforvisitorswhileensuringsustainableuseand

conservationoftherichbiodiversityofthearea.

Alagoonmanagementplanwillalsoserveasablueprintinmanaging

andrestoringthemarineenvironmentinconsultationandcooperation

withthesurroundingcommunity,marinebiologists,hoteliersandother

stakeholders.Thiswillbecoupledwithlandbiodiversityconservation

effortsencompassingsuchinitiativesasthedevelopmentofseveral

naturetrails,abiodiversitycorridoralongthecourseandestuaryof

CitronniersRiver,anativetreearboretum,theremovalofinvasive

speciestomakewayfornativeriverineecosystemsaswellasthe

enhancementofexistingmangroveareas.

Thisisawide-scaleprojectwitharealestatecomponentandincludes

thedevelopmentofasecondgolfcoursethatwillbecomplementary

toouraward-winningHeritageGolfClub.Tofulfilthevisiontocreate

uniqueexperiencesanddistinctivevaluesforDomainedeBelOmbre,

wehighlyvaluemeaningfulstakeholderdialogueandconcertedaction.


How is corporate responsibility and sustainability relevant to the future strategy of the Group?

Imustsaythattodate,ourCSRapproachandprogrammeshavemet

thetargetsthatweresetforthebenefitofallourstakeholders.We

havedecidedtofocusoureffortsononespecificcauseatatime–the

fightagainstHIV/Aidsfrom2007to2013andcurrentlytheprotection

ofourcoastalandmarineecosystems–toincreaseourchancesof

bringingaboutmeaningfulchange.

Insodoing,wefeelthatwehaveprovidedvaluablesupportto

publicauthoritiesandotherrelevantpartiesincludingNGOsandour

ownpeoplewithintheGroupinaddressingtheseissues;wehavein

theprocessgonebeyondthemandatory2%CSRspendwhenever

possibleandwhereitmadesense.Ourinitiativesinvolvealong-term

commitmenttomakeadifference.Weregrettherecentchanges

announcedtotheCSRframeworkandareconcernedthatthiscould

stalltheprogressmadeandcouldpreventusfromachievingour

targetedimpacts.

The Group has also rolled out a new communication campaign – ‘Focused Energy, Every Day’…

‘EnergydrivesEverything’isnotjustanotherslogan.Thisnewcampaign

isareaffirmationoftheidentityofourGroupandourbrand’sDNA,

embodyingourvalues,ourfinancialstrengthandvisionforthefuture.

ItistheEnergydeployedbyourpeoplethatismakingthedifference.

Rogersisnowaninternationalinvestmentandservicescompanywhose

strengthstemsfromtheenergyofaunified,competentandwell-

balancedteam.Thiscampaigniscommensuratewithourambitions

andprojectsaclearimageofourdynamicbrandbothinternallyand

withourpartners,clients,investorsandthepublicatlargethrough

expressingtheenergythathasbeendrivingusformorethanacentury.

To conclude, what are your key priorities and expectations going forward?

Weareworkingdiligentlyonpursuingourstrategicvision,whichis

centredonconsolidatingourpositioninourfourservedmarkets,which

areFinTech,Hospitality,LogisticsandProperty.Wearecommittedto

buildingonthestrengthofourvaluableexperienceandestablished

competencewithinthesemarkets,andwewillputinthenecessary

resourcestogrowthedepthandsizeofeachofoursectors.The

rationaleofthisistoprovidetheadequatelevelofmanagerialattention

andtherequiredmeanstoouractivitiesineachofourservedmarkets

inordertoachieveabalanceddevelopment.

Wehavewell-developedentrepreneurialcapabilitiesineachofthese

marketsandhavebecomemorenimbleandagile.Wearebackedin

ourendeavourbythesupportofourparentcompany,theENLGroup,

whichalsoprovidesuswiththeflexibilityrequiredtoachieveour

long-termgoals.Ourcapabilityforswiftdecision-makingishelpingus

greatlyinconsolidatingourbusinesses.

ThedevelopmentofRogerscontinuestobefocusedonachieving

balancedrevenuegenerationfromdomesticandinternationalclients.

Ourphilosophyistoimproveourproductivityandperformanceagainst

internationalbenchmarks.Wehavesignificantdevelopmentplansinthe

shorttermforeachofoursectorsandarecreatingadditionalcapacity

tosupportourambitionsfor2020.

Iamconfidentthatwecandeliverevengreatersuccessinthefuture.


Strategy for Profitable GrowthThroughoutits117yearsofexistence,RogershasdevelopedasolidreputationandbroadeneditsserviceofferingtobecomealeadingbusinessentityinMauritius.TheGrouphasbeenanactivecontributortoeconomicdevelopmentthroughitsparticipationinvarioussectorsandinvolvementinsustainabledevelopmentinitiativesforthecountryanditscitizens.

RogerspursuesastrategytopositionitselfasanInternationalServicesandInvestmentCompany.TheGroupcontinuestoleverageitsstrongleadershipandentrepreneurshipcapabilitiestoconsolidateitsexistingbusinesslinesintheever-changingeconomicenvironmentwhileatthesametimeexpandingintonewmarketsbothlocallyandoverseas.

ThevaluecreationstrategyofRogersremainsfocusedonthreemaindriverswhichareTurnaround,PredictabilityandGrowth.TheGrouphasenhancedtheresilienceofitsbusinessandanticipatesmorepredictabilityandgrowthoveritsplansto2020.TheGroupunderstandstheimportanceofsustainabilityinitseverydayactivitiesandshallendeavourtothebestofitsabilitytocarrybusinessinaresponsiblemannerwithoutcompromisingtheabilityoffuturegenerationstomeettheirownneeds.Theultimategoalistocreatevalueforallitsstakeholders.

TURNAROUND PREDICTABILITY GROWTH

• Costcontrol• Pricing• Throughput• Productivity

• MaintainingLeadership• Integration• Capability• Sustainability

• Organic• Acquisitions• Channels• Geographies• Diversification

Financing Models

Image & Values

Group Leverage

Key Business Elements

SERVED MARKET SECTORS ACHIEVEMENTS IN FINANCIAL YEAR 2016 TARGETS FOR THE NEW FINANCIAL YEAR 2017

FINTECH Financial Services

• Acquisitionofamanagementcompany,RiverCourtAdministratorsLtdinGlobalBusiness;

• ConsolidationofGlobalBusinessthroughthemergerofitsentities.

• OpeningofrepresentativeofficesinFrance,India,SouthernAfricaandtheUK;

• ConsolidationofRiverCourtAdministratorsLtdwithKrossBorderCorporateServicesLtd;

• SettingupofGlobalBusinessoperationintheSeychelles;

• Developmentofwealthmanagementservices.Technology

Services• LaunchofourproprietaryCloudPlatform

(Cloud24);• NewPointofPresence(POP)inMombasa,

Kenya.

• Newtechnologyofferings;• ISO27001certification;• ForayintotheFinTechspace.

Note 1: Travel was reported as Aviation up to 30 June 2016

Strategy for Profitable Growth


SERVED MARKET SECTORS ACHIEVEMENTS IN FINANCIAL YEAR 2016 TARGETS FOR THE NEW FINANCIAL YEAR 2017

HOSPITALITY Hotels • RenovationandupgradeofVerandaPointeauxBichestoa4-starresort;

• FinalisationoftherevisedrentalpoolagreementandCBeachClubaccesswithhomeownersatVillasValriche;

• IdentificationofacquisitionopportunitiesforVLHinMauritiusandintheregion;

• EnhancedoperationalPAT.

• LeTelfairwillberenovatedfromJunetoAugust2017toenhanceitspositioninginthe5-starsegment;

• AcquisitionofanewhotelforVeranda;• VerandaPaul&Virginiewillalsoberefurbishedin2017,

reinforcingitsromantic/AdultsOnlyconcept(JunetoAugust2017);

• TheDomainedeBelOmbreexperienceswillalsobesignificantlyupgraded;

• Worksonasecond18holesignaturegolfcoursewillstartin2017.

Travel1 • ReorganisationofourCorporateStructureinto4sectors;

• Reduceloss-makingactivities;• Expansionofourairlinesportfoliowithnew

representationsinMauritius,SouthAfricaandMozambique;

• StrengthenedourDigitalteamthroughhiringnewcompetencies.

• LaunchofHolidaysbyBlueSkyinMauritius;• Newoperatingmodelinsomecountries;• Consolidationoftheonlinetouroperatingbusiness;• StrengtheningofourexpertiseinCorporateTravel;• Instillingaleisure-orientedmindset;• ConsolidatingandimprovingourOTObusiness.

LOGISTICS Logistics Solutions

• TurnaroundofourfreightforwardingoperationsinFrance;

• DiversificationofourcustomerbaseinMadagascar,IndiaandReuniontoenhancegrowth;

• AcquisitionofshareholdinginterestsinatransportationandfreightforwardingbusinessinKenya.

• Improvementofourroadtransportationbusinessperformance;

• Enhancingsystems,processesandbroadeningofserviceofferinginKenya.

PROPERTY Property2 Investments

Foresite Property Holding:• Acquisitionof25%ofMallofMauritiusat

BagatelleLtd.;• ParticipationintheprivateplacementofAscencia.Ascencia:• FundraisingofRs1bnandacquisitionof34.9%

inBagapropand100%ofGardensofBagatelle;• DevelopmentofBagatelleDecoCity;• Anewmanagementstructure;• Identificationoffuturepropertydevelopment.

Ascencia:• So’FloopeninginSeptember2017;• Startofconstructionofsecondofficeparkbuildingat

Bagatelle;• NewcommercialprojectintheSouth;• Rebrandingexercise;• Saleofnon-coreassets;• Debtrestructuring;• CompletionofconstructionworksatCentreCommercial

Phoenix.Property

Development &

Agribusiness3

• RenovationoftheLeChamarelRestaurant;• “Ensembleproject”,thecreationofaunified/

sharedvisionanddevelopmentplanfortheDomainedeBelOmbre;

• DevelopmentofBelOmbreMasterPlan.

• DevelopmentofacoffeehubatSevenColouredEarth;• Constructionofa2ndgolfcourse;• DevelopmentofRealEstateresidentialprojects;• PlaceduMoulinandChateaudeBelOmbreprecinct

enhancement;• Contributiontothecreationofaleisureservicesector

withintheGroup;• SettingupofaninteractiveLandandMarineResource

Centre.Corporate

Office• Overheadrecoverythroughgrowthwithanew

managementfeesformula;• Subscriptiontotherightsissue(Preference

shares)ofNMH;• IncreaseofourstakeinNMHfrom17.6%to

19.3%.

• Fundraising;• Reportingofconsolidatedfinancialswithrespecttothe

4servedmarkets;• ImplementationofaBusinessIntelligencereportingtool.

Note 2: Property Investments was reported as Property up to 30 June 2016.Note 3: Property Development & Agribusiness was reported as Real Estate & Agribusiness up to 30 June 2016. Rogers - ANNUAL REPORT 2016 39

Energy drives sustainability.

Corporate Social ResponsibilitySustainable Development

Our Strategy

Duringtheyearunderreview,thecompanieswithintheRogersGrouphavescaleduptheirsocialandenvironmentalresponsibilityeffortsthroughanincreasednumberofprojectsandprogrammes.WheretheCorporateSocialResponsibility(CSR)fundsderivedfromthe2%comprehensiveincomeprovedinsufficient,additionalresourceswerebudgetedoralternativemeanswereusedtosupportenvironmentalandsocialcauses.Moreover,Rogersfocuseditsattentionondevelopingandplanningsustainableprojectsthatwilldemonstrateourstrategytodobusinessdifferently:bywalkingthetalkinordertostrikeabalancebetweeneconomy,environmentandsociety.

Governance• Responsibility of the Board• Sustainable Development Strategy• Ethics & Transparency• Shareholders’ rights Rogers

Foundation

Economic Prosperity• Financial Processes

Environment• Environmental Resource Management• Energy & Water• Waste

Social• CSR Contributions• Welfare & Rights of Employees and Clients

Corporate Social Responsibility


Programme for the Protection of the Coastal Areas of Mauritius

TheRogersGroupcontinueditsinvolvementinprojectsgearedtowardspromotingAwareness,EducationandSupportinordertoreducethenegativehumanimpactontheenvironmentofcoastalareas:

Mobile Marine Education Unit – Third Year of the ‘Bis Lamer’ Project with Reef Conservation

TheNGO,ReefConservationremainsourmainpartnerintheProtectourCoaststrategywithitsteamofprofessionalmarinebiologists,projectcoordinatorsandeducators.

‘BisLamer’isaclassonwheelsequippedwithinteractivetoolsandlaboratoryequipment.Todate,theprojecthasexceededitstargetintermsofeducationaboutmarineandenvironmentalissues,havingreached10,768studentsand4,346adults.Some125schoolsand70publicareassuchascommunitycentres,shoppingmallsandbeacheswerevisited.Moreover,52%ofRogers’staffhavereceivedtrainingcoursesonmarineandlagoonlife.

Domaine de Bel Ombre Lagoon and Land Survey

SustainabledevelopmentandenvironmentalstewardshipcomewiththeresponsibilityofcarefullystudyingandassessingtheecosystemsofaregionsuchasBelOmbrebeforemovingonwithrehabilitationprojects.ReefConservation’sbiologists,Diospyros’ecologistsandtheMauritianWildlifeFoundation’sconservationistswerecontractedtoevaluatethelandandmarinefaunaandfloraandproposeappropriateprotectiveandrestorativemeasures.Themainupcomingprojectsarealagoonmanagementplan,abiodiversitycorridorandaninteractiveresearchcentreoncoastalecosystems.

Community Involvement & Permaculture

ThesustainabledevelopmentplanforBelOmbrenecessarilycontainsasignificantsocialcomponent.ConsultationswereorganisedwithallthestakeholdersintheregionandenvironmentalconsultantsspecializedinpermacultureandcommunityinvolvementwerealsocontractedtotakeonboardtheinputoftheinhabitantsofBelOmbre.ThisenrichingexercisehasallowedtobringoutthedreamsofthevillagersfortheirregionandtheideatorecreateatypicalMauritianvillagetoshowcaselocalsavoir-faire.

National Museum & Porlwi by Light

Variousmediaarerequiredtoeffectivelyspreadthemessageaboutprotectingourcoastsamongthepopulation.Themoviededicatedtothehistoryofourextinctnationalbird,thedodobenefitedfromthecrowd-pullingeffectofPorlwibyLight,whichadditionallycontributedtorekindlevisitorinterestinourNaturalHistoryMuseumandtheBlueWaterexhibition.TheLagoonDosandDon’tspanelsonthemuseum’sornategateswerealsoviewedbyhundreds.


Protection of Marine Turtles in Mauritius

ThenationalnetworkfortheprotectionofendangeredseaturtlesontheMauritianshores,composedofNGOs,privatesectorandrelevantauthorities,hasworkedtirelesslytoeducatecoastalpopulationswhiletighteningtheenforcementnetagainstpoachers.Achildeducationleaflethasalreadybeenfinalizedandreleasedinschools.

Beach Clean-Up Series

Educatingbeachusersaboutproperlitterdisposalispartofthenecessaryeffortstoprotectthelagoonanditsmarinelife.YouthUnitedforEnvironmentwiththesupportofRogers,HeritageResortsandCSBOstafforganisedabeachclean-upeventatLeBatelage,BelOmbre.Thistrashcollectioninitiativehadaneducationalaimedandservedtosupport‘StopPolisyon’,asonginMauritianKreollaunchedatRogersHouseinAprilbytheVicePresidentoftheRepublic.TheclipisregularlyshownonnationalTVandcanbeviewedonYouTubeathttps://youtu.be/qVbsRdtFD8s

Global Women’s Forum

TheWomen’sForumMauritiuswasatremendousopportunityformobilisingsupportfordrivingagame-changingagendaforthesustainableeconomic,environmentalandsocialdevelopmentoftheDomainedeBelOmbre.Thisregionisfacingenvironmentalthreatssuchasclimatechange,whichisinextricablylinkedtocoastalandmarineresilience.Theseriousdeteriorationofourisland’scoastalecosystemsandthechallengesposedbysea-levelriseandcoastalerosionhavepromptedustoseeksupportforourplannedprojectstosetupabiodiversitycorridoralongCitronniersRiver’scourse,createanInteractiveLandandMarineResourceCentreandimplementalagoonmanagementplan.

Sponsorship of Cité Sainte Catherine in Collaboration with ENL and FAIL Foundation

FollowingthecompletionoftheOLEAproject,whichprovidedsupportto50impoverishedfamiliesintheMokaregion,anewpovertyalleviationprogrammehasbeenlaunchedatCitéSainteCatherine,SaintPierre.BuildingontheexperienceacquiredfromOLEA,RogershasteamedupwithENLandFAILFoundationtodesignandsupporta3-yearIntegratedCommunityDevelopmentProgrammeinvolving250familieswithinthispoverty-strickenregion.


CSR in our Sectors

Other Initiatives carried out by our Business Units

Aviation

TheAviationSectorhassupportedongoingeffortsforthepreventionofcoastalandmarinepollutioninMauritiusandhasprovidedtrainingtoitsemployeesonthisimportantissue.

Hotels

HeritageResortshasworkedwithchildrensupportedbytheNGO,CaritasintheSouth:154kidsreceivedvalueeducationsessionscombinedwithanintroductiontogolforfoot-golf.OutingstoCaselaandCuriousCornerofChamarelwereorganisedandsupportwasgiventoadanceacademy.Clothesandbed/bathlinenwerealsodonatedbeforeandafterafloodingeventinBelOmbre.Similarly,VerandaLeisure&HospitalityhassupportedtheelderlyunderthecareoftheHumanServiceTrustintheNorththroughthedonationofclothingandlinenandhasprovidedvulnerablechildrenwithanafter-schoolteacherandafootballtrainer.Toimprovetheenvironment,theGrandGaubebeachwascleanedupandeffortsweremadeinconjunctionwiththeNGO,PAWStoencouragethesterilizationofstraydogsandcats.

Logistics

Velogichasimprovedexistingproceduresforthemanagementofindustrialwasteandriskslinkedtothebusinesssector’sactivities.ThestaffweretrainedinwastesortingbyMissionVerteandguidedinimplementingacomprehensivewastemanagementsystem.Contributionstothecommunitywerealsomadeinthefieldsofarts,sportsandvocationaltrainingofdisadvantagedyouththroughthefollowingNGOs:AtelierMo’zar,FauconFlacqSportingClub,FoundationforExcellenceinSportsandEducationalandVocationalFoundation.

Property

AscenciahascontinueditssupporttotheseabirdtranslocationprojectoftheMauritianWildlifeFoundation(MWF).TherestorationofalostseabirdcommunityonIleauxAigrettesisalong-termcommitmentthataimstoensurethesurvivalofthreatenedseabirdspecies.TheMWF’sscientistsareimprovingtheknowledgeonthischallengingreproductivemethodandonthespeciesvisitingourislands.

Real Estate and Agribusiness

CompagnieSucrièredeBelOmbreisasignatorytoanagreementfortheestablishmentofaProtectedAreaNetworkcoveringitsreservesatFrederica,CaseNoyaleandSevenColouredEarth.Anadditional2.8hectaresofendemicflorawasrestoredduringtheperiodunderreview;tofurthereducateitsstaffontheimportanceofsuchrehabilitationworks,ateambuildingactivitywasorganisedwhereininvasive‘vanillemarron’plantswereremoved.Moreover,openingtheseunique,preservedforestgroundsfortrailrunningandcyclingeventsisawaytoshareitsvalueandbeautywiththegeneralpublic.OtherinitiativessupportedweretheupgradingofashelteredactivityareaatSaintJacquesRCAinChamarel,anAdolescentLifeSkillsEducationProgrammeandotherprojectstargetingvulnerablegroups.

Technology

TheeffortsatEISarefocusedonreducingtheirresourceusebyreplacingalllightbulbswithenergy-savingmodelsandgoingpaperlessformeetingsandnewsletters.Inaddition,theyhaveinvestedinemployeewell-beingandcareerdevelopmentthroughprovidingadditionalstudyleaves,offeringtheservicesofanin-housedoctoraswellasorganisingrecreationalactivities.


Consolidated Value Added StatementJune 2016

GROUP

2016 2015

Rsm % Rsm %

Revenue 8,167 7,151

Bought-in materials & services (4,996) (4,326)

Total value added 3,171 2,825

Applied as follows :

EMPLOYEES

Wages, salaries, bonuses, pensions & other benefits 1,577 50 1,476 52

GOVERNMENT

Income Tax 129 4 109 4

PROVIDERS OF CAPITAL

Dividends paid to:

Shareholders of Rogers & Co. Ltd 222 7 212 8

Outside shareholders of Subsidiary Companies 194 6 112 4

Banks & other lenders 541 17 287 10

957 30 611 22

REINVESTED

Depreciation & amortisation 325 10 296 10

Retained profit 183 6 333 12

508 16 629 22

3,171 100 2,825 100

Note: The above statement excludes any amount of Value Added Tax paid or collected.

Consolidated Value Added Statement


Share Price InformationRogerssharesaretradedontheOfficialMarketoftheStockExchangeofMauritius

SHAREPERFORMANCEBASE100:01July2015

Market Capitalisation Rs 7.1 billion at 30 June 2016

Average Daily Trading Volume23,673 shares from 01 July 2015 to 30 June 2016

NUMBER OF SHARES

252,045,300

80

85

90

95

100

105

110

Semdex

01-Jul-15 01-Oct-15 01-Jan-16 01-Apr-16 01-Jul-16

RCL

RCL SHARE PRICE 01 Jul 2015 - 30 Sep 2015

01 Oct 2015 - 31 Dec 2015

01 Jan 2016 - 31 Mar 2016

01 Apr 2016 - 30 June 2016

High(Rs) 32.5 30.5 28.6 28.0

Low(Rs) 29.0 26.9 27.5 26.0

Close,endofperiod(Rs) 29.0 27.5 27.8 28.0

ChangeinRCLsharepriceovertheperiod 3.8% -5.2% 0.9% 0.9%

ChangeintheSemdexovertheperiod 3.3% -5.4% -0.5% -2.4%

Share Price Information


Served Market Performance

Energy drives performance.

FINTECH

Revenue609Rsm

FinTech

SectorsFinancial Services

Technology Services

ActivitiesRogers Capital

EIS

Kross Border

Key InvestmentsSwan General

Swan Financial Solutions

AXA Customer Services Ltd

“Deliveringglobalproductsfromasophisticatedjurisdiction.”

EBITDA

PAT

201

158

million

Rs

Rsm


Deliveringglobalproductsfromasophisticatedjurisdiction

Mauritiusisawell-establishedjurisdictionthatservesasaportalforinvestmentacrossAfrica,AsiaandEurope.Rogersisakeyplayerinthenon-bankingfinancialservicessectorwiththeprovisionofglobalbusinessandinvestmentservices.Togetherwithcomplementarytechnology-enabledservicesandbusinessprocessoutsourcing,itoffersacomprehensiverangeofservicesthatprovideglobalclientswithacomprehensiveplatformforbusinessmodelinnovation.

Rogers&Co.Ltdalsoholdsasignificant28.8%equitystakeinSwanGeneralLtd,aleadinggeneralandlifeinsurerinMauritiusandadirect20%participationinthecapitalofSwan’sfundmanagementandbrokeragesubsidiary,SwanFinancialSolutionsLtd.

OperatingactivitiesgroupedundertheFinTechservedmarkethavebeenrebrandedRogersCapitaltoreflectclientcallsforlinkagesbetweenfinancialservicesandtechnologysolutions.

Financial Services Sector

Financialservicesaredeliveredbyateamofhighlyexperiencedprofessionalswithin-depthproductandmarketknowledgeinthefollowingareas:

• GlobalBusinessServicestoservicetheoffshoresector

• AssetManagement

• WealthManagement,whichisanemergingbusiness

Technology Sector

TheentityformerlyknownasEnterpriseInformationSolutions(“EIS”)hasbeenrebrandedRogersCapitalTechnologyServices.Itisaleadingproviderofinformationtechnology-enabledservicesandoutsourcingsolutionswithageographicalfootprintexpandingbeyondthedomesticandregionalmarkettomainlandAfrica,FranceandtheMiddleEast.

Thecompanyhasimplementedvariouslarge-scaleandmulti-industrysystemsintegrationandinfrastructuredeploymentprojects:

> BusinessSolutions

• ERP,CRM,BI,DMSintegrationservices;

• Custom-developedapplications;and

• Businessprocessre-engineering.

> Infrastructure&MobileSolutions

• Enterpriseservers,storageandnetworks(HPTier1Partner);

• Supplychaininventorytrackingsolutions(IntermecPlatinumPartner);

• Virtualisation;

• Multi-platformportability;and

• Systemsarchitecture&optimization.

> Cloud,Connectivity&Security> CloudServices(proprietaryCloud24brand)offeringSaaS&IaaS> ManagedInfrastructure&Hostingservices> BusinessContinuity&DisasterRecoveryServices> RemoteInfrastructureManagementServices> NationwideDataConnectivityProviderwith50+PoPsinMauritius

&3inAfrica(Madagascar,SouthAfrica,Kenya)> MPLS/IPLCs> BusinessProcessOutsourcing> PayrollOutsourcing> ContactCentreServices–AXACustomerServices

• Telesales;

• Customerrelationshipmanagement&customercare;

• Backofficeprocessing;and

• Assistance.

ContactcentreservicesareprovidedtocompaniesandindividualsthroughAXACustomerServices,along-standingjointventurewithAXAAssistance,anAXAGroupsubsidiary.

FINTECH SERVED MARKET


Overview

Rogershasconfirmeditsre-emergenceintheGlobalBusinesssectorinthefinancialyear2015-2016withtheacquisitionofRiverCourtAdministratorsLimited,aManagementCompanyoperatinginMauritiusformorethan5years.ThisacquisitionfallsinlinewiththeGroup’sstrategytoexpandfurtherintheFinancialServicessectorthroughbuildingadditionalcapacityandexpertiseinspecificareasofcorporateandfiduciaryservices,amongstothers.ThisfinancialyearalsosawtheamalgamationofConsilexintoKrossBorderandtherestructuringofourhumanresourceswithreneweddynamismpromotingefficiency,state-of-the-artoperationsandintegratedservices.Thecompanyhasalsoseenanexpansionofitsworkforce.

TheGlobalBusinesssectorcontinuestoevolve,withemergingopportunitiesandchallengessuchasthosearisingfromtherevisedIndia-MauritiusDoubleTaxationAgreement(DTA).Aswemoveforward,ourstrategyhasshiftedfromaproduct-centricorganisationtoonewherecustomersareatthecentreofouroperations.Acombinationofsmartpeople,approachesandtechnologyhasresultedinmoderateyetsustainablegrowthbothintermsoffinancialperformanceandrelationalquality,whicharekeyingredientsofourbusinesssuccess.Asociallyresponsiblecompany,KrossBorderhasalsocollaboratedwithrecognizedNGOsinthefieldofchildcareandeducation.

Ontheassetmanagementside,themainrevenuedriverforRogersAssetManagementLtd(“RAML”)continuestobetheForeignInstitutionalInvestor(“FII”)segment.TheexistingclientsaregraduallyconvertingtheirlicencestoForeignPortfolioInvestor(“FPI”)andbyOctober2016,allinvestmentsviatheFIIroutewillbeconvertedtoFPI.Nevertheless,afewclientshavestillretainedtheinvestmentcomplianceservices.RAMLhasoverthelasttwoyearsanticipatedthepotentialnegativeimpactoftheregulatorychangeandhastakenstepstodiversifyawayfromrelianceontheFIIbusinessalone.DespitetheanticipateddropinrevenuefromtheFPIsegmentgoingforward,ourperformancemetricsshowanincreaseinfundsunderadministrationfromRs20bninJune2015toRs27bnattheendofJune2016.

PerformanceReview

ThefinancialresultspointtoasuccessfultransitionperiodfollowingtheacquisitionofKrossBorderandConsilexandtheensuingmergerfrom1January2016.Inspiteoflosingkeycompetitiveadvantages,theIndia-MauritiusDTAnowprovidescertaintyastothetreatmentofsharesacquiredpriorto1April2017andoffersacompetitiveplatformfordebtinvestmentsintoIndia.Notwithstandingthechallengesfacingtheindustry,thesoftnessoftheglobaleconomyandsignificanttimeandeffortspentintegratingournewacquisitions;theGroup’sGlobalBusinesssectordeliveredaPATofRs56m,drivenbymoderategrowthinrevenue.Operationalcostsremainedstableandundercontrolwhiletherewasanincreaseintraining,businessanddevelopmentexpenditure.

Inspiteofadropinrevenue,RAMLhasimproveditsperformancerelativetolastyear.Marketactivityhasremainedfairlybuoyantforthefinancialyear2015-2016asinvestorsengagedinrobusttradingdespitethefluctuationsofworldstockmarkets,includingIndia.Costshavebeenwellcontainedduringtheyear,allowingustobreakevenatPATlevelwhilerecordingaslightincreaseinEBITDAaswecontinuedrivingnewinitiativesfortheassetandinvestmentmanagementbusiness.

TheRogersshareofresultsoftheassociates,SwanGeneralLtdandSwanFinancialSolutionsLtd,showedanimprovementinPATtoRs94m.

“Our commitment to our served market remains strong as we move forward as a unified entity.”

SECTOR PERFORMANCE: FINANCIAL SERVICES


Outlook

KrossBorderwillcontinuetoconsolidateitsposition,gearingupfortheforthcomingexpansionofRogersCapital.ThecompanywillbeoperatingunderthebrandnameofRogersCapital,anewumbrellaofjointservicesincludingCorporateServices,FinancialServicesandTechnology.Thisrebrandingprocessisthesteppingstonetoharnessingthepowerofthethreesectors,creatingaharmonizedsynergyandensuringoptimumservicetocustomers.

TheGlobalBusinessteamwilllookatoptimizingitsinternationalexposurewiththepotentialsettingupofoverseasrepresentativeofficesenvisagedinFrance,India,SouthernAfricaandtheUK.Inanefforttocontinuediversifyingourclientportfolio,ourPayrollandAccountingOutsourcingServiceswillbedevelopedfurther.FollowinganincreaseinBusiness

&Developmentexpenditureandmarketinginitiatives,weanticipateastronggrowthinrevenueforexistingandnewlinesofservice,aswellasbettermarginsasweoptimizesynergiesandefficiency.

RAMLislookingtotakeadvantageofitsexpansiveknowledgeofthemarketsandfinancialproductofferings.Inparticular,acontinualfocuswillbemaintainedondevelopingnewassetmanagementproductsinlinewiththerequirementsofinstitutionalandindividualclientsinadditiontodevelopingthebusinessorganically.Tothatend,theteamhasalreadyundertakenbusinessdevelopmentinitiativesinAfricaandwillcontinuetopushdeeperintothatterritoryintheforeseeablefuture.Wecontinuetowitnessampleopportunitiesonthecontinentandwillpositionourselvesstrategicallytocapturethepresentlyunmetdemand.Ournewandsometimescomplexinitiativeswillbedeployedwhileremainingcommittedtoprovidingourinvestorswiththehighestlevelofserviceintheassetmanagementarena.

Rs m

REVENUE PAT

2016 2015 2016 2015

GlobalBusiness 253 133 56 43

RogersAssetManagement 11 12 - (1)

RogersCapital 2 - (19) (12)

SwanGeneral - - 69 58

SwanFinancialSolutions - - 25 29

Total 266 145 131 117

“Our expertise in the Global Business sector, our dedicated staff and our focus on clients’ needs will be the pillars of our future growth.”for the Sector

PAT of

131Rs

m


Overview

TheTechnologySectorreportedsolidresultsfortheyearunderreview.ThesluggishprivatesectordemandforICTproductsandservicesthatprevailedthroughoutthefinancialyearwasmitigatedtosomeextentbypublicsectorinvestmentsinthedomesticmarket.Moreover,fiercecompetitiononareducednumberofinitiativesadverselyimpactedourmargins.

Despitesubparmarketconditions,EnterpriseInformationSolutions(“EIS”)postedstrongresultsonaccountofthesaleofhighrevenueprojectsinthepublicsector,thepositiveandfullyearcontributionofourrecentlyacquiredtelecommunicationscapabilityandeffectivecostcontainmentinitiatives.

TheCompanyhassetupasecondtelecompointofpresenceinmainlandAfricaviatheLION2submarinecableandlaunchedCloud24,oneoftheveryfirsthybridcloudplatformsinMauritius.Italsopursueditsdiversificationstrategythroughtheintroductionofnewservicelines,namelyinthebusinesssolutionsspace.

AXACustomerServices(“AXACS”)reportedequallygoodresultsonaccountofagrowingbookofbusinessandabettermanagementofforeignexchangetranslationmechanisms.Significantinvestmentsarecurrentlybeingmadeintermsofrelocatingthebusinesstonewpremisesthataremoreconducivetogrowth,upgradingourtelephonysystemtowardsastate-of-the-artinfrastructureandcompliancetowardsinternationalstandards,e.g.PCIDSS.

Despiteincreasingdemandatinternationallevel,growthprospectsintheoutsourcingfieldremainsubduedduetoscarcityofexperiencedpersonneldomestically,notwithstandinginadequatelabourlawstoservicesophisticatedandmaturejurisdictions.

“A new telecommunications point of presence has been set up in Mombasa, Kenya.”

27for the year

Sector booked a Record PAT of

mRs

SECTOR PERFORMANCE: TECHNOLOGY SERVICES


PerformanceReview

EISreportedsignificantlyimprovedfinancialresultsfortheperiodunderreviewwithEBITDAofRs33mandPATofRs19m,a37%and36%year-on-yearincreaserespectively.

Despiteseverepricedisruptionsinthemarket,ournewtelecommunicationsservicelinewasamajorcontributortotheoverallprofitabilityofthecompany.Thisupwardtrendwasdrivenbythecompletionofmajorlocalandregionalprojects.EIScompletedthesettingupofanewPointofPresence(PoP)inMombasa,KenyatoextendourexistinginternationalconnectivityafterSouthAfricaandMadagascar.ThisnewPoPenablesourorganisationtodeliverdirectinternationalconnectivitysolutionstoenterpriseswithalocalpresenceintheEastAfricanregionaswellasprovidingservicediversitytoourexistingcustomers.

CloudservicesareseeinganacceleratedadoptionworldwideandMauritiusisexpectedtofollowthistrend.EISnowpositionsitselfasakeyplayerinthecloudspacewiththelaunchofitsproprietaryCloud24platform.Basedonthepowerfulandworld-leadingHPEHelionplatform,thecompanynowoffersbothSoftware-as-a-Service(SaaS)andInfrastructure-as-a-Service(IaaS)toitscustomers.Suchservicesare

gainingsignificanttractiononthedomesticmarketespeciallyatthelevelofinternationalplayersrequiringmultisitegeographicalpresence.

Therestructuringofourportfolioofbusinesssolutionsyieldedpositiveresultswithanincreasednumberofprojectswonandsuccessfullydelivered.Ourongoingdiversificationstrategyandtheintroductionofnewbusinessproductivitytoolsanddigitalsolutionshavesignificantlycontributedtotheperformanceoftheserviceline.EISproposesboth“on-premise”and“inthecloud”servicesallowingittocapturemarketshareirrespectiveofcustomers’preferredoperatingmodel.

SignificantefforthasalsobeenmobilisedintermsofInformationSecurityManagement.EIShasembarkedontoanISO/IEC27001complianceframeworkandtheCompanyisexpectedtoachieveISO27001certificationearlyinthenextfinancialyear.

AXACSproducedsignificantlybetterresultscomparedtothepreviousyear.EBITDAincreasedby63%andProfitafterTaxrosetoRs8m.Thiswasdrivenbya16%growthinrevenueandclosemonitoringofforeigncurrency(EUR)translationmechanisms.

Rs m

REVENUE PAT

2016 2015 2016 2015

AXACS(ShareofJV) - - 8 3

EIS 343 262 19 14

Total 343 262 27 17


Outlook

LeveragingCloud24andextendedconnectivitycapabilities,EISisuniquelypositionedtotapintothegrowingdemandforcloudsolutionsandservices.Thecompanyisexpectingtoon-boardanumberoflocalandinternationalcustomers.

Significantinvestmentshavebeenearmarkedforanumberofstrategicinitiativesincludingthesettingupofanewdatacentre,thestructuringofaresearchandinnovationcentre,therecruitmentofspecializedcompetenciesaswellastheintroductionofanewoffering.

EISwillalsopositionitselfintheubiquitousfieldoftheInternetofThings(IoT);strategicpartnershipswithleadingglobalplayersinthismarketarecurrentlybeingassessed.

Additionally,theBoardofDirectorsofAXACShasconcurredwithmanagement’srecommendationtofurtherinvestinthetransformationofthecompany.InvestmentsexceedingRs120mhavealreadybeencommittedto:

• relocatingtonewpremises;

• upgradingourtelephonysystem;

• furtherdevelopingourhumancapital;

• complyingwithinternationalstandards,e.g.PCIDSS;and

• promotingtheAXAbrandontheMauritianjobmarket.

Theintegrationofanumberofcomplementarybusinessactivities,i.e.financialservices,corporatesolutions,informationtechnologyandtelecommunicationsandbusinessprocessoutsourcingunderRogersCapitalshallundoubtedlyopenupavenuesthatareconducivetodevelopmentandunlockconsiderablevalueforthewiderRogersGroup.

“Enterprise cloud services were successfully launched under the Cloud24 brand.”


HOSPITALITY

Revenue

2,591Rsm

Hospitality


“Acomprehensivetravelandtourismplatform.”

EBITDA

358Rsm

PAT

136Rsm

Note 1: Travel was reported as Aviation up to 30 June 2016.

SectorsHotels

Travel1

Leisure

ActivitiesVLH

Rogers Aviation

CSBO Leisure

Case Noyale Leisure

Key InvestmentsNew Mauritius Hotels

Air Mauritius

Mautourco

White Sand Tours

BlueConnect


Acomprehensivetravelandtourismplatform

Rogershasalong-standinghistoryofembracingandimplementinginnovationacrosstheentiretravelandtourismvaluechaininMauritiusandbeyond.Ithasdevelopedintoadrivingforceinthecountry’shospitalitysectorwithasignificant20%investmentinthetotalroomcapacityandagamutofleisureopportunitiestocomplementitshotelservices.Itisalsoanestablishedtotaltravelsolutionsproviderintheregionbothtoairlinesandtheircustomers.

Hotels Sector

HospitalityisthemainbusinesslineofVLH(VerandaLeisure&Hospitality).Itsportfolioincludestwohotelbrands,VerandaResortsandHeritageResorts,withsevenpropertiestotalling686hotelroomsinthethree-tofive-starrangeandarentalmanagementpoolof47luxuryvillasatVillasValriche.

HeritageResortsincludes:

• HeritageLeTelfairGolf&SpaResort,158rooms/5*+

• HeritageAwaliGolf&SpaResort,161rooms/5*

• HeritageTheVillas(47luxuryrentalvillas)

VerandaResortsconsistsoffourcharminghotels:

• VerandaGrandBaieHotel&Spa,94rooms/3*+

• VerandaPaul&VirginieHotel&Spa,81rooms/3*+

• VerandaPointeauxBichesHotel,115rooms/4*

• VerandaPalmarBeachHotel,77rooms/3*

Rogersholdsa19.3%stakeinNewMauritiusHotels,whichoperatesunderthebrandBeachcomberandislistedontheStockExchangeofMauritius.

Travel Sector

RogersAviationhasbeenanindustrypioneerinMauritiusformorethan70yearsandhasestablisheditselfasaone-stopcentreintheregionfortravel-relatedsolutionswithoperationsinMauritius,Madagascar,

SouthAfrica,ReunionIsland,Comoros,MayotteandMozambiquewithexpertiseinthefollowingareas:

• Ground handling including warehousing in Mauritius (PATS),Madagascar(ACSMadagascar)andMozambique(MAHS)

• Airlinerepresentationforpassengerandcargoservices(GSA),GDSrepresentation(Sabre),Visaservices

• CorporateTravelmanagement

• Leisureservicewith travelagencies (BlueSky),off-andonline touroperatinganddestinationmanagement.

RogersAviationholdsstakesinthedestinationmanagementcompanies,MautourcoandWhiteSandToursaswellastheBlueConnectcontactcentre,apartnershipwithasubsidiaryofAirFrance-KLMGroup.

Rogers&Co.alsoholdsa13.5%effectivestakeinthenationalairline,AirMauritius.

Leisure Sector

TheGroupwillconsolidateallcurrentleisureactivitiestoprovideacomprehensiverangeofleisureandrecreationalpursuitsandactivities.Facilitiesandservicesavailablealreadyincludethefollowing:

• CroisièresAustrales

• YachtManagement

• SevenColouredEarth

• FrédéricaNatureReserveandLodge

• LeChamarelRestaurant

Forthisyear’sAnnualReport,theleisureactivitieshavebeenincludedintheircurrentrespectivesectorperformances.

HOSPITALITY SERVED MARKET


Overview

TheMauritiantourismindustryhasenjoyedastrongupturninthe2015-2016financialyearwith11%growthintouristarrivals.Airlineseatcapacityhasalsoincreasedby7.4%in2015andisestimatedtoriseby8%in2016.Thishasresultedinanimprovementinthenationalhoteloccupancyleveltoanestimated73%for2016(2015:70%).

Thenationalrecovery,alongwithinitiativesdeployedtoinnovate,enhancequalitystandardsandcustomerexperiencesandstrengthenmarketingeffortshaveresultedinVerandaLeisure&Hospitality(VLH)achievinganimpressiveprogressbothinrevenueandoccupancy.

RevenuepostedbyVLHgrewby17%whileaverageoccupancyfortheyearincreasedby6percentagepointstoreachastaggering84%.Directandonlinebookingshavealsogrownsignificantly.

Duringtheyear,VerandaPointeauxBichesHotelwassuccessfullyrenovatedandupgradedto4-starstandard.SincereopeninginSeptember2015,thehotelhasachievedsignificantincreasesbothinoccupancyandaverageroomrates.Otherinitiativestoboostourguests’experiencesincludeanewcustom-brandedcatamaranatVerandaPauletVirginieHotelandanewpleasurecraftatHeritageLeTelfairGolf&SpaResort.

ThisyearalsosawHeritageEventsorganisethesecondAfrAsiaBankMauritiusOpen,whichagainwasahugesuccess,achievingexcellentTVcoverageacross4continents.

“VLH aims to grow its inventory in the 3 to 4-star market with more Veranda Resorts in Mauritius and the Indian Ocean.”

SECTOR PERFORMANCE: HOTELS

Rs m

REVENUE PAT

2016 2015 2016 2015

VerandaResorts 634 564 68 75

HeritageResorts 1,320 1,105 120 49

Spa 3 3 3 3

CorporateServices* 83 77 (14) (52)

Total Hotels excluding NMH 2,040 1,749 177 75

Investments(NMH) - - (57) 97

Total 2,040 1,749 120 172

*The reported figure for 2015 has been amended to reflect non-sector revenue.

Rs mVLHrecordedaPATof

177


PerformanceReviewFortheyearended30June2016,VLHbenefitedbothfrominitiativesundertakenandthereboundofthecountry’stourismsector.TurnoverfortheyearincreasedtoRs2,040m,representing17%growthcomparedtolastyear.Thistranslatedina50%improvementinEBITDAtoRs368m(2015:Rs246m)andPATreachingRs177m(2015:Rs75m).FinancecostswerereducedtoRs61m(2015:Rs75m).TheseimprovedfinancialresultswereachievedinconjunctionwithfurtherprogressinCustomerSatisfactionIndicesforallhotels.

ThemarketevolutionovertheyearrevealsthatVLHhasmaintaineditsstrongpositionsinEurope,SouthAfricaandReunion.TherewasaslightdropintheFrenchmarket,whichwascompensatedbyariseintheUKmarketandGermanyrecordedthemostnotableprogress.Targetedsalesandmarketingeffortshavealsodeliveredanalmosttwofoldincreaseinthenumberofroomnightsobtainedviaonlinedistributionchannelsfortheyear.

TheVerandaResortshotelsincreasedtheiroccupancyto87%(2015:82%)andtotalrevenueperavailableroomby14%overthepreviousyear.VerandaPointeauxBichesHotelexperienceda15%dropinprofitbeforeinterestandtax(PBIT)duetoclosureinJulyandAugust2015forrenovation.ThethreeotherVerandahotelsachieveda6%PBITincrease.

TheperformanceoftheHeritageResortshasbeenimpressivewitha19%riseinrevenue,well-controlledexpensesandadoublingofprofitabilityovertheyear.HeritageAwaliGolf&SpaResortachieveda17%revenueincreaseandPBITwasupby69%.HeritageLeTelfairGolf&SpaResortwitnessedgrowthinoccupancyanda24%revenuegainwhilePBITwasupbyRs49m.TheoverallPBITofHeritageHotelsreachedRs137m(2015:Rs47m).

HeritageVillas,whichmanagesarentalpoolof47villas,theChateaudeBelOmbreandtheCBeachClub,hasgeneratedrevenueofRs203m(2015:Rs164m).LosseshavebeencutfromRs40min2015toRs8mfollowingtheagreementofnewoperatingcontractswiththevillapromoterandvillaowners.Weexpectthisbusinessunittocontinueimprovingitsperformancenextyear.

HeritageGolfClubfurtherimproveditsnumberofroundsby18%andmaintaineditsnumberonepositioninMauritius.TurnoverreachedRs97mcomparedtoRs90mlastyearandPATwasRs10m(2015:Rs14m).

SevenColoursSpaachievedasimilarrevenueofRs3mandgeneratedaPATofRs3minlinewithexpectations.

AtthelevelofNewMauritiusHotelsLtd(NMH),thecontributiontoourresultsfortheyearwasimpactedbyone-offitems.However,foritsninemonthended30June2016thehotelgroupreportedanincreaseof8%inrevenueandagrowthinEBITDAof15%.

OutlookOfficialforecastsindicatean8%growthintouristarrivalsfor2016.Inspiteofinternationaluncertainties,theseprojectionsarelikelytomaterializethankspartlytothecontinuedimprovementofairaccesstoMauritius.TheonlynegativenoteistheweakeningofGBPfollowingtheBrexitvote.

Onthebackofstrongdemand,VLHhassignificantlyincreaseditsrates.Forwardbookingsandrevenueareencouraging.DespitethetemporaryclosureoftwohotelsfromJunenextyearforrenovation,sustainedprofitabilityisexpectedin2016-2017.

VLHhasdevelopedafour-yearstrategicplan(2016-2020)containingseveralexcitingprojects.LeTelfairwillberenovatedin2017toenhanceitspositioningatthetopendofthe5-starsegment.VerandaPaul&Virginiewillalsoberefurbishednextyeartoreinforceitsromantic/AdultsOnlyconcept.VLHisintheprocessofacquiringahotelinMauritiusandisactivelyexploringopportunitiestoexpanditsinventorybothlocallyandregionally.TheDomainedeBelOmbreexperienceswillalsobesignificantlyupgradedwithseveralprojectsinthepipelineincludingasecond18-holesignaturegolfcourse.

VLHwillcontinuetoputmuchemphasisontechnology,innovation,humanresourcesandtrainingtofurtherstrengthenthecompany’sserviceupliftingcultureandcustomerexperiences.

Goingforward,weexpecttobenefitfromabettercontributionfromNMHonthebackofaseriesofinitiatives.TherebrandingexerciselaunchedinSeptember2016isexpectedtocontributefavourablytoanewbusinessimpetus,whilstotherinitiativestofurtherreducethedebtwillcertainlyhelptoimprovebothprofitsandcashflows.

“VLH has fully benefited from the recovery of the national tourism industry with revenue up by 17%.”


Overview

Consumersworldwidehavethisyearseenasubstantialincreaseinthevaluetheyderiveasaresultoflowerairtransportfaresonthebackoffallingoilprices,increaseinnewdestinationsservedandfrequenciesoperated.Globalspendingonairtransporttotalled$740billion,accountingfor1%ofworldGDP.Changesintheindustrystructureandbehaviourareleadingtoanoverallimprovementinairlineperformance.

Ourcombinedregionalmarketsconsistof2millionoutboundpassengertripsand78,000tonsofexportcargoannually.Whilethismarketissizeable,thegrowthrateremainsmoderate.PersistentpoliticalinstabilityinsomecountriesandadropincommoditypriceshaveledtoacontractioninFDI,foreigncurrencyshortagesanddepreciationoftherespectivelocalcurrencies.Thishaslimitedthepotentialforgrowthintheregion,whereourmainmarketsremainMauritiusandMadagascar.

Ourstrategicfocusduringtheyearwasfirstlytoconsolidateourcorebusinessesandregionalpresenceandsecondlytodevelopoure-commercecompetenciesandthedigitalizationofourserviceoffering.Themaininitiativesundertakentoimplementourstrategywereasfollows:

• ThereorganisationofourCorporateStructureinto4sectorstoensurefocusandenergyfromourteams.

• TheexpansionofourairlinesportfoliowithnewrepresentationsinMauritius,SouthAfricaandMozambique.

• ThestrengtheningofourDigitalteamthroughhiringnewcompetencies.

PerformanceReview

OveralltheSectordeliveredahigherrevenueofRs551m,howevertheProfitafterTax(PAT)issignificantlybelowthelevelspostedlastyearasoneofourassociatesintheleisuresegmentincurredsignificantnon-recurrentadjustmentsofRs26mduringtheyearunderreview.

TheperformanceintheAirlines&SystemssegmentimprovedmainlyonaccountofstronggrowthinMadagascardrivenbygainsinmarket

shareandourplannedexitfromKenyawherealosswasincurredlastyear.OuractivitiesinComorosalsoachievedbetterprofitability.However,thegoodresultsweremitigatedbytheunderperformanceinSouthAfricafollowingtheunexpectedsuspensionofflightsoperatedbyoneofourairlinepartners.Furthermore,theturnaroundofourReunionoperationsremainschallengingandisnotprogressingasexpected.

TheGroundHandlingactivityhasremainedoncourseanddeliveredoperationalresultsinlinewiththepreviousyear.However,PATdecreasedby12%dueprimarilytoapart-paymentofseveranceallowancetoformeremployeesfollowingthediscontinuationofalineofbusinessinMauritius.TherecentlyacquiredcargohandlingactivityinMadagascarhasbrokenevenaheadofplan.ThedisappointingperformanceofourgroundhandlingassociateinMozambiqueisexplainedbyasharp40%devaluationofthelocalcurrencyandthecompany’splantoexpandintotwonewunderserveddomesticairports.

Rs Revenue of

generated for the year

551m

SECTOR PERFORMANCE: TRAVEL


TheCorporateTravelbusinessachievedbetteroverallresults.OurexitfromtheKenyanmarketandtheturnaroundofoperationsinMayottewerethemaincontributors.InMauritius,despitea2%dropinindustrysaleslevelwehavemaintainedourleadershippositionbygainingnewclients.Ontheotherhand,theperformanceinMozambiquewasdisruptedbyaneconomicdownturnfollowingasignificantfallinworldcommoditypricesleadingtomajorminingcompaniesscalingdowntheiractivitiesincludingtravelspending.OurassociateBlueConnectisoperatingatfullcapacityandcontinuestoyieldsatisfactoryresults.

TheLeisureServicessegmentreportedasignificantreversalofperformancewhichhoweverrelatestoourshareofnon-recurringmateriallossesfromanassociateintheDestinationManagementsegment.Infact,ourtravelagencyandboatingactivitiesgenerateda56%improvementinPAT.ThesestrongresultsweremainlydrivenbythesuccessfulturnaroundofYachtManagement,whichisnowperformingaccordingtoplanwithgoodsaleslevelsinrespectofnew

andsecond-handboats.Similarly,therelocationofcatamaransaroundtheislandhascontributedpositivelybothintermsofoccupancyratesandrevenuepercustomer.Asfortravelagencies,despitethechallengingpoliticalsituationinMadagascar,TranscontinentssustaineditsprofitabilitywhereasfocusedenergyisstillrequiredinordertoturnaroundBlueSkyinReunion.

Furthermore,theLeisureServicessegmentwasimpactedbytheperformanceofouronlinetouroperatingstart-upwhichremainsnegativeinlinewithitsbusinessplan.However,verypositivesignshavebeennotedfortheOTOasthetrendinSEO,conversionratiosandbookingshassignificantlygrownduringtheyear,leadingtoa43%increaseinrevenue.Wehavecontinuedtoinvestmateriallyintechnologyandhumancapitaltogearupforthefutureandbreakevenin2018.

“Changing consumer habits and new distribution models will continue to transform the way we do business.”

Rs m

REVENUE PAT

2016 2015 2016 2015

Airlines&Systems 253 270 20 17

GroundHandling 53 49 8 9

CorporateTravel 104 101 7 5

Leisure 141 120 (19) 11

Total 551 540 16 42


Outlook

Changingconsumerhabitsandnewdistributionmodelswillcontinuetotransformthewaywedobusiness.ThecurrentmobileInternetpenetrationrateinsub-SaharanAfricais23%andshouldreach37%by2020.Customersarelookingfor‘smarter’waystotravel,whereasairlineswantnewskillsetsfromtheirpartners.

TheAirline&SystemsegmentisexpectedtoreportincreasedPATin2016-2017throughthereorganisationofouractivitiesinMauritius,MozambiqueandSouthAfrica.Inlinewithourstrategytoexpandintonewbusiness,weshallactivelypursueopportunitiestodiversifyintoairline-relatedancillaryservices.ThepositivecontributionwillhoweverbedampenedbytherecentdecisionofoneofourhistoricairlinepartnersinMadagascartorunitsownofficethereasfromOctober2016.

OntheGroundHandlingside,weaimtoplayastrongerroleinthecargoenvironmentinMauritius.Wewilladjustourcorebusinessmodelthroughaddingnewcapabilitiesandtakingadvantageofnewtechnologiessuchastheimplementationofastate-of-the-artcargowarehousingsoftware.OurcargohandlingactivityinMadagascarisexpectedtocontinuegrowing.

ThefocusforLeisureactivitieswillbeondevelopingthemarketwithamodernizedcustomerexperience,newproductofferingsandthedevelopmentofanonlinesalesandweb-to-storestrategywithourrelocationtoBagatelleMallofMauritius.Theonlinetouroperatingactivitywillcontinuetorecordalossin2016-2017inlinewithitsbusinessplan.However,turnoverisexpectedtogrowby100%andaturnaroundisexpectedwithin3yearswiththesettingupofthirdpartysalesmanagementagreementsandtheexpansionofthebusinessintoEnglish-speakingmarkets.

“Our combined regional markets consist of 2 million outbound passenger trips and 78,000 tons of export cargo annually.”


LOGISTICS

Revenue

3,125Rsm

Logistics


SectorLogistics Solutions

ActivitiesVelogic

“Anintegratedinternationallogisticsplatform.”

PAT

100Rsm

253Rsm

EBITDA


Anintegratedinternationallogisticsplatform

Rogershasover40yearsofinternationalpresenceandin-depthexpertiseinthelogisticsbusiness.TheGroupoffersacompletelineofinternationallogisticsservicesunderasingleinternationalbrand,Velogic,createdin2009.HeadquarteredinMauritius,thecompanyoperates27officesacrossmajorcitiesinFrance,India,Madagascar,Mozambique,ReunionIsland,Bangladesh,SingaporeandKenya.Thistotalsupplychainsolutionsprovidermakescomplexinternationaltradeeasythroughitsabilitytocombinebest-in-classlogisticssolutions.AmethisFinanceAfrica,aprivateequityAfrica-focusedfund,tooka33%stakeinVelogicin2013.

Velogicusesitsindustryexpertiseandexperiencetoprovideanextensiverangeofservicesincluding:

• Freightforwarding

• Customsclearing

• Domestictransport

• Warehousing

• Containerservices

• AircargoGSA

• Exhibitions(FreeportOperationsMauritiusLtd)

• Parcel&courierservices

VelogichasacquiredamajoritystakeinatransportandwarehousingoperationinKenyain2016inaventurethatwillexpandintoanEastAfricalogisticsplatformofferingafullsetofservices.

Velogicisalsoinvolvedinthefollowingservices:

• Shipping and stevedoring operations through Rogers Shipping andSouthernMarine inMauritiusaswell as its subsidiary inSingapore,RogersShippingPteLtd(Singapore).

• SugarpackagingactivitiesoperatingundertheSukpakbrand.

“The overall revenue growth was spearheaded by overseas operations, which benefited from our East Africa development strategy with the acquisition of two Kenyan companies that operate customs brokerage and transportation business.”

Rs

Rs

EBITDA for the year increased from

193

253m

m

to

LOGISTICS SERVED MARKET


Overview

TheLogisticssectorshowedalaudableimprovementinresultscomparedtothepreviousfinancialyear,despiteachallengingeconomicbackdropandfiercelycompetitivemarketconditionsacrossallactivitiesandgeographies.Economicconditionswithintheeurozonecontinuedtobesluggish,impactingouroperationsinFrance.Inaddition,tradingactivitieswiththeUKwerefurtheraffectedfollowingtheBrexitvote.However,somewindfallgainswerebookedfromtheappreciationofUSDagainstMUR.

Theoverallrevenuegrowthwasspearheadedbyoverseasoperations,whichbenefitedfromtheEastAfricadevelopmentstrategywiththeacquisitionofshareholdinginterestsintwoKenyancompaniesthatoperatecustomsbrokerageandtransportationbusiness.OrganicexpansionachievedbyourfreightforwardingplatformsinFrance,India,ReunionandMadagascarwasanothercontributor.Therevenueincreasewaspartlyoffsetbytheclosureoftheloss-makingcourierfranchiseinMozambique.

TheMauritiusFreeportbusinesswasboostedbyincomefromtherentalofasubstantialpartofitsfacilitiestoaninternationalconglomerateforthesettingupofaplantmanufacturingproductsforSouthernandEasternAfricanmarkets.

TheresultswerehowevernegativelyimpactedbytheperformanceoftheMauritiantransportbusiness.Additionally,theeffectsonthesugarpackingactivityofGBPdepreciationtowardstheendofthefinancialyearwerepartlymitigatedthroughappropriatehedgingarrangements.

Marginsfortheshipcharteringbusinesswerehitbyfallingcontractualrateswithitscustomersascharterbuyingratesplungedtoa20-yearlowduetoexcessmarketcapacity.

SECTOR PERFORMANCE: LOGISTICS


PerformanceReview

ProfitafterTax(PAT)fortheLogisticssectorinthefinancialyearunderreviewwasRs100mcomparedtoRs76minthepreviousyear.EBITDAfortheyearincreasedfromRs193mtoRs253m.

PortServices’profitabilitydecreasedsignificantly,mainlyduetoincreasedcostsincurredbythetransportactivityonrepairofolderequipmentandhigherdepreciationandfinancechargesfollowingthereplacementoffully-depreciatedtrucks.Thelatestartoftheharvestatasugarmillandthelonger-than-expectedclosureofthecoalpowerplantsformaintenancewasanotherreasonforthedownside.Remedialactionshavealreadybeeninitiatedtoturnaroundthefinancialperformanceofthetransportactivitythoughsomeeffectswillstillbefeltinthenextfinancialyear.

TheprofitforContainerDepot&Repairactivitieswasinlinewithlastyearasvolumesweremaintained.Freeportactivitiesdeliveredpositiveresultsinthewakeofincomefromtherentalofasignificantportionofwarehousingcapacitytoalargeinternationalmanufacturer.Thewarehousingbusinesscontinuedtoimprovewithbetterturnaroundsandnewclientacquisitionsduringtheyear.Nevertheless,profitabilityfortheexhibitionsegmentcontinuedtodeclineduetothecontinuationofgovernmentrestrictionslimitingthenumberofmonthsduringwhichfairscanbeorganisedduringtheyear.

ResultsfortheSugarPackingoperationwerepositivelyimpactedbyhighervolumesorderedwhichhelpedmitigatetheeffectsofanunstableGBPespeciallytowardstheendofthefinancialyear.

ThePATofShippingoperationsdecreasedmainlyduetolowermarginsforthebulkactivityresultingfromnewcontractualagreementstakingintoaccountthesinkingshipcharterprices.Thisdeclinewaspartlyoffsetbylowbunkeringprices.TheperformanceforthelocalShipAgencybusinesswasflatfortheyearunderreviewcomparedtolastyear.

AnotableimprovementintheperformanceoftheFreightForwardingactivitywasattributabletooverseasentities.ThesignificantturnaroundwitnessedbytheFranceplatformduetoincreasedvolumesandcostreductionmeasureswaspartlyoffsetbycontinuinglossesinwarehousingwithoccupancylevelsstillbelowexpectationsandcontinuinglowpricesinacompetitivemarket.InMozambique,theloss-makingcourierrepresentationwasclosedatthebeginningofthefinancialyearandliquidationcostshavealreadybeenaccountedfor.ThecargoagencybusinessperformedbetterthanthepreviousyeardespitethedifficulteconomicconditionsinMozambique.ThefreightforwardingbusinessalsobenefitedfromtheinclusionoftheKenyanoperationfollowingitsacquisitionduringtheyear.TherewerenotableupsidesinIndia,MadagascarandReunionwiththecontinuingefforttodiversifythecustomerbaseandincreasedvolumesfromexistingcustomers.

Rs m

REVENUE PAT

2016 2015 2016 2015

PortServices 686 655 24 52

SugarPacking 98 72 16 14

Shipping 52 50 24 29

FreightForwardingServices 2,289 2,180 39 (12)

CorporateServices - 45 (3) (7)

Total 3,125 3,002 100 76


Outlook

Despiteaforecastofdifficultanduncertaineconomicconditionsin2016-2017,theLogisticssectorexpectstofurtherimproveitsperformance.Energywillbefocusedontheturnaroundofthetransportbusinessthroughensuringthatthecostsavinginitiativesimplementedinthesecondquarterof2016-2017deliverthetargetedupsidesandthatnewrevenuestreamsaredevelopedtomitigatepotentialshortfallsfromkeyactivities.

Theongoingeffortstorationalizethesystemsandprocessesinthenewly-acquiredKenyanoperationswillcontinueinthefirsthalfofthenextfinancialyearbeforeintroducingnewservices.ThiswillallowforasignificantimprovementofoverallperformanceastheSectorwillbenefitfromafullyearofoperationandalsosynergieswithotherbranchofficessuchastheoneinIndia.

CountrieswithfavourablegrowthpotentialinadditiontoKenyaareIndia,ReunionandMadagascarwherefurtheropportunitiesforcustomerbasediversificationareexpected.InMauritius,performanceinfreightforwardingwillremainstableinacrowdedandintenselycompetitivemarketplace.

Theongoingportdevelopmentplanscheduledtobecompletedin2017shouldbenefittheLogisticsbusiness.ThesebenefitsarelikelytospilloverintotheFreeportbusiness.ThesugarpackingactivityisexpectedtosufferifthecurrentdepreciationofGBPagainstMURismaintainedorworsensaftertheeffectsoftheBrexitbecomeclearer.Thebulkshippingactivitywillcontinuetooperateatlowmarginsintheforeseeablefutureascharterpricesarelikelytoremainlow.ThefreightforwardingactivityinFranceisexpectedtoreturnflatresultscomparedtothisyearaseconomicfundamentalsinEuropeshownosignsofrecovery.

“Energy will be focused on the turnaround of the transport business.”


PROPERTY

Revenue

1,845Rsm

Property


SectorsProperty Investments1

Property Development & Agribusiness2

ActivitiesAscencia

CSBO - Les Villas de Bel Ombre

Key investmentsMall of Mauritius at Bagatelle Ltd

LMDC

EBITDA910“Aquotedpropertyportfolioandextensivedevelopmentassets.”

Rsm

509Rsm

PAT

Note 1: Property Investments was reported as Property up to 30 June 2016.Note 2: Property Development & Agribusiness was reported as Real Estate & Agribusiness up to 30 June 2016.


Aquotedpropertyportfolioandextensivedevelopmentassets

RogersisamajormarketplayerinMauritiuswithpropertyvalueinexcessofRs14billion.Itsextensivepropertyinvestmentportfolioisfocusedonhigh-quality,high-yieldretailandofficedevelopmentsinprimelocationsthroughitsquotedsubsidiary,Ascencia.

Inaddition,Rogersdevelopsitspremiumhotel,residentialproperty,andleisureactivitiesinDomainedeBelOmbreandCaseNoyale,inthesouth-westregion,whichalsoplayshosttoasmalllegacyagribusinessactivity.

Property Investments Sector

Ascenciaisthelargestdedicatedpropertyinvestmentcompanylistedsince2008ontheStockExchangeofMauritiusandisrecognisedbothlocallyandinternationallyforthequalityofitsassets.TheprincipalactivityofAscenciaistoacquire,investandmanageinvestmentsincommercialandofficerealestateprimarilylocatedinMauritius.

Ascenciaactivelymanagesaportfolioofinvestmentpropertiesthroughregularacquisition,developmentanddisposaltooptimiseshareholderreturns.ItholdsthemajorityshareofthreeofthelargestshoppingmallsinMauritiusandadevelopingofficeparkwithanexecutivegolfcourse.

Rogers&Co.Ltdalsoowns25%ofMallofMauritiusatBagatelleLtd,oneofthelargestready-to-developlandbanksatBagatelleinthecentreofMauritius,whichissettobecomeanofficeparktocomplementthelargestshoppingcentreontheislandsituatednearby.

Property Development and Agribusiness Sector

RogersholdsacontrollinginterestinSouthWestTourismDevelopment,whichhastwoestates,CompagnieSucrièredeBelOmbreLtd(CSBO)andCaseNoyaleLtd.

CSBOistheownerofa2,258-hectaresiteintheunspoiltsouth-westofMauritius,i.e.theDomainedeBelOmbre.Thecompanyhaslargelycontributedtothedevelopmentoftheregionformorethanacenturythroughluxuryhotels,villas,agolfclubandotherleisureactivitiesoperatedbyHeritageResorts.Italsomaintainsasmalllegacysugarplantation.

CSBOisthepromoteroftheaward-winningVillasValricheIntegratedResortScheme,HeritageGolfClub,andFedericaNatureReserveandLodge.

CaseNoyaleLtd.owns1,137hectaresoflandsituatedatCaseNoyaleandChamarel.AsmallremainingagriculturalactivityatCaseNoyaleincludesCafédeChamarel,a100%localbrandofcoffee.Thisestatealsoboaststhetouristattractions,SevenColouredEarthandLeChamarelRestaurant.

PROPERTY SERVED MARKET


Overview

Themacroeconomicenvironmentcontinuedtobechallengingfortheyearwithastagnantforecastedconsumerspendinggrowthof2.9%(December2015:2.7%),wageindexof0.6%(March2015:2.4%)anda31.8%unemploymentrateamongtheyoungeconomicallyactiveadults.However,theinflationratestoodat0.9%(June2015:1.7%)andtheMCBprimelendingratecontinuedtodecreaseandiscurrentlyat6.25%.

Theoperatingenvironmentisnotexpectedtochangeconsiderablyoverthenext12months.Hence,theneedtocontinuetoconsolidatethegroup’sitsdominantmarketpositionandbereadytoseizeopportunitiesastheyoccur,bothlocallyandinternationally.

Duringthefinancialyear2015-2016,thePropertySectoradoptedanexpansionaryapproachwithseveralinitiativestoimproveearningsandprofitabilityduringtheyearandbeyond.ThemainpropertycompanyAscenciarecordedanaveragemonthlyfootcountinexcessof1,600,000andanoveralloccupancyrateof95%.Thisyearagain,AscenciahasbeenthemainPATcontributortoRogersGroup.

shoppersvisitedAscencia’smallsduringtheyear.

19m

“Ascencia’s total investment property portfolio was valued at Rs 10.3bn by the international and independent valuer Jones Lang LaSalle.”

SECTOR PERFORMANCE: PROPERTY INVESTMENTS

PerformanceReview

Witheffectfrom1July2015,Ascenciahasacquiredanadditional34.9%stakeinBagapropLimited,therebyincreasingto85%itsshareholdingintheholdingentityofBagatelleMallofMauritius.Thecompanynowalsoowns100%ofTheGardensofBagatelleLtd,theholdingentityofBagatelleOfficePark.Theseacquisitionshavebeenfinancedbywayofaprivateplacementtosophisticatedinvestors.TheentityhassuccessfullyraisedatotalofRs1.1bnofcashoutofitstargetofRs1.4bnamidcurrentchallengingconditionsinthecapitalmarket.Throughthisfundraising,AscenciaissuednewsharesandotherfinancialinstrumentsandthesewerelistedontheDevelopment&EnterpriseMarket(DEM)oftheStockExchangeofMauritius.TheHome&LeisurenodeatBagatelleMallofMauritiusopenedasperplansinDecember2015.TherenovationofCentreCommercialPhoenixstartedinFebruary2016andisexpectedtobecompletedforreopeningbytheyear-endfestiveseason.AllthesestrategicexpansioninitiativeshaverequiredatotalinvestmentinexcessofRs1.8bnforAscencia.

GrossrevenueforthePropertySectortotalledRs1,164moverthe2015-2016financialyearcomparedtoRs508minthepreviousyeardrivenmainlybytheconsolidationofBagapropLimited.

Ascenciadeliveredasolidsetofresultsagainstthebackdropofachallengingeconomicenvironment.Thesignificantincreasenotedinnetoperatingincomeacrossmostpropertiesdemonstratesthesolidityofthepropertyassetportfolio.Theseresultswereachievedthroughthecombinationofincreasesinrevenueandcostcontainmentmeasuresinitiatedthisyear.Furthermore,themanagementsuccessfullydealtwiththedemiseofoneofthelargesttenants–FashionStyleLtd–afterthereceivershipofCourts(Mauritius)Ltdlastyear.

Ascencia’stotalinvestmentpropertyportfoliowasvaluedatRs10.3bn(2015:Rs3.7bn)bytheinternationalandindependentcommercialpropertyvaluer,JonesLangLaSalle(JLL).TotalmarketcapitalisationstoodatRs5.2bnat30June2016,representingthe2ndlargestcapitalisationontheDevelopment&EnterpriseMarketoftheStockExchangeofMauritiusLtdatthatdate.

TheopeningofSo’FloBoutiqueMallinFlorealhasbeenpostponedfromNovember2016toSeptember2017.AfterhavingexperiencedaserioussetbackthisyearwithalossofRs56m,theprojectisnowfirmlybackontrackandwehaveeveryconfidencethatitwillbringtothisregionoftheislandamuchneededretailoffering.

TherevenuegeneratedbypropertiesnotfallingunderAscenciaLtdhasbeeninlinewithlastyear.However,thePAThasbeenimpactedbyone-offfinancecostsontheacquisitionof25%ofMallofMauritiusatBagatelleLtdbyForesitePropertyHoldingLtd(FPHL).Duringthefinancialyear,FPHLbookedthesalesofits50%stakeinEdithCavellPropertiesLtdandthesecuritybusinessofRelianceSecurityServicesLtd.TheprofitattributabletoRogersthroughits21.32%stakeinEnAttLtdimprovedsignificantlytoRs10.7m(2015:Rs5.9m).

“2016 has been marked by investments of Rs 1.8bn and revenue hitting Rs 1.2bn.”


Outlook

Theprospectsfortheforthcomingyearwillbeexcitinganddynamic.Netoperatingincomeisexpectedtoincreasebymorethanthe5%contractualrentalescalationonthebackofreducedforecastedvacancies,newrevenueopportunitiesandthereopeningofCentreCommercialPhoenixinNovember2016.

Moreover,Ascenciaisworkingonmajorinitiativesincludingthesaleofnon-coreassetssuchaslotsinOrchardCentre,QueenPropertyandManhattanBuildingaswellasthelaunchofSo’FloBoutiqueMallinSeptember2017.Thecompanyisalsoplanningtodevelopasecondofficebuildingofsome6,000sqmatBagatelleOfficeParkandlaunchanewdevelopmentprojectintheSouthoftheisland.

TherefinancingofAscencia’sdebtshouldcontributetoreleaseadditionalcashflow.ArebrandingexerciseisalsoonthecardsandsocialWi-FiwillbeintroducedinallourMalls.

Rs m

REVENUE PAT

2016 2015 2016 2015

12months 12months 12months 12months

Ascencia 1,081 415 654 528

OtherProperties 83 93 (16) 1

Investments(AssociatedCompanies) - - (44) 7

Total 1,164 508 594 536


Overview

TheperformanceoftheRealEstateandAgribusinessSectorforthefinancialyear2015-2016hasbeenimpactedbytheresultsoftherealestatecluster.TheyearhasbeenverytestingforVillasValricheIRSwithanumberofdelaysinsalesandconstructionmilestones.Themarketplaceremainsverycompetitiveduetotheavailabilityofalternativeproductsbothinternationally(mainlyPortugal,SpainandSeychelles)andlocally.

Thebusinessenvironmentforthecanecultivationandlivestockactivitiesremainedtestingwithdifficultmarketconditions.However,theAgribusinessclusterwillmaintainitsinitiativestoreduceoperationallossesthroughenhancedmarketinginitiativesandcostcontrol.

Theleisureactivities,drivenbyLeChamarelRestaurant,theactivitiesofferedbyFredericaNatureReserveandSevenColouredEarthhavebeenthemaincontributorsintermsofPAT.LeChamareliscurrentlyunderrenovationandwillreopeninSeptember2016withanincreasedcapacitywhilstanumberofnewinitiativesarealsoplannedforSevenColouredEarth.

PerformanceReview

RevenuefortheyearendedJune2016amountedtoRs681m(2015:Rs1,076m).AlossofRs85mwasrecordedagainstaPATofRs156min2014-2015.

ThefinancialperformanceofLesVillasdeBelOmbrefortheyearhasbeenimpactedbydelaysinconstructionandsalesmilestones.Asaconsequence,thecompanyreportedalossofRs60m(2015:PATofRs169m)fortheyear.Ontheotherend,theextensiveprogressmade

inthedevelopmentofinfrastructureonthewestsideoftheestatewillbringtomarketveryattractivepropertiesinthecomingfinancialyear.

Theperformanceoftheagriculturalactivitieshasbeenimpactedbyalowersugarextraction(2015-2016:9.10%vs2014-2015:10.24%)andlowerrevenuefromhuntingpartiesfortourists.However,encouragingrevenuegrowthof27%hasbeenrecordedfortheCafédeChamarelcoffeeproductionactivity.ThedevelopmentofthecoffeebusinessisshowingpromisingopportunitiesasconfirmedbythequalityrecognitionobtainedduringtheyearfromtheinternationallyrecognizedSpecialtyCoffeeAssociationofAmerica(SCAA).

TheleisureactivitieshaveachievedanexcitinglevelofperformancewithhigheroccupancyatLeChamarelRestaurantfortheperiodduringwhichitwasopeninthefirstsemesterandthenumberofvisitorsatSevenColouredEarthexceeding350,000fortheyear.Inaddition,FredericaNatureReserveactivitieshavealsocontributedpositivelywithhigherrevenuefromquadbikeandbuggytours.Revenueforthesegmentgrewby14%toRs97m(2015:Rs85m),whilstPATfortheyearwentdowntoRs16m(2015:Rs22m)attributabletohigherdepreciationchargesandfinancecosts.

TheinvestmentportfoliopostedamuchbetterresultwithaPATofRs22magainstRs9min2015,mainlyattributabletotheverygoodperformanceofBiofarms/BiocultureandHeritageGolfClub.FollowingthemergerbetweenBiofarmsandBiocultureinJanuary2016,CompagnieSucrièredeBelOmbreexchangedits49%stakeinBiofarmsfora14%shareholdinginBioculture.

“The coming year will remain challenging for the Real Estate Cluster.”

SECTOR PERFORMANCE: PROPERTY DEVELOPMENT & AGRIBUSINESS


“Investments made in the enhancement of our Leisure product portfolio is expected to generate further growth in revenue.”

350,000for the year

The number of visitors at Seven Coloured Earth exceeded

Outlook

ThecomingyearwillremainchallengingfortheRealEstateclusterasnomajorimprovementinthemarketconditionsisforeseen.However,weexpectpositiveresultsfromstrategicinitiativesgearedtowardsimprovementoftheproductoffering,penetrationofnewmarketsandpartnerships,andenhancedmarketingandcommunication.

TheperformanceoftheAgribusinessclusterisanticipatedtoshowamarkedimprovementnextyear.InvestmentsmadeintheenhancementofourLeisureproductportfolioareexpectedtogeneratefurthergrowthinrevenuewhilstthecontributionfromtheagriculturalandlivestockactivitiesislikelytoimproveasaresultofcontinuedoperationalefficienciesandmarketingthrust.

ThestrategicintentofpositioningtheDomainedeBelOmbreasapremiumleisure,hospitalityandrealestatedestinationwillbefurtherstrengthenedthroughimplementinganumberofprojectsoverthenextthreeyears.TheplannedstartofconstructionofasecondgolfcoursenextyearwillcontributetopositioningtheDomaineasapremiumgolfingdestinationinMauritius.

Rs m

REVENUE PAT

2016 2015 2016 2015

RealEstate 401 822 (64) 165

Agriculture 183 169 (59) (40)

Leisure 97 85 16 22

Investments - - 22 9

Total 681 1,076 (85) 156


Governance at Rogers

Energy drives people.

Corporate OfficeTheRogersCorporateOfficecoversarangeoffunctionssuchasMarketing&Communication,FinanceandInvestment,HumanResources,Legal,ProjectsandDevelopmentaswellasInternalAuditandRiskManagement.Allthesefunctionsareessentialtogrowingeachsectorandreinforcingourcompetitivestrategythroughportfolioinitiatives,executiveinfluenceandspecificsharedservices.

MARKETING & COMMUNICATION

TheMarketing&CommunicationDepartmentdevelopsandexecutestheinternalandexternalcommunicationandmarketingstrategiesofRogers.Thedepartmentisresponsibleforeventsplanningandmanagementaswellasapplyingtherelevanttraditionalofflineandonlinetacticstomaintainanappropriatelevelofengagementwithstakeholdersincludingbusinessandtradejournalists,industryandfinancialanalysts,investors,shareholders,customers,employees,andthecommunityatlarge.

FINANCE AND INVESTMENT

TheFinanceandInvestmentDepartmentensuresthattheGroup’sfinancialreportingandcompliancemeettherequirementsofInternationalFinancialReportingStandards(IFRS)andallrelevantlegislation.Inaddition,itprovidessupportbothtotheCorporateOfficeandtotheGroup’ssectorsinaccounting,taxation,treasurymanagement,investmentappraisal,projectfinanceandstrategicinitiatives.

HUMAN RESOURCES

Rogersemploys4,545peopleacross53officesin13countries.Havingaskilledandengagedworkforceiskeytosuccessfullydrivingourbusinessstrategy.TheCorporateHumanResources(HR)Departmentprovideshumancapitalsolutionstothebusinesssectors,includingoverseeingeffectiverecruitmentandonboardingoftalentedindividuals,developingcriticalskills,sustainingengagementatworkandfacilitatingchangeinitiativeswithintheGroup.TheCorporateHRteamalsodeliversexternalhumancapitalconsultingservicesrangingfromlearninganddevelopmentsolutionstoengagementsurveys,andorganisationdevelopmentinterventions.

LEGAL

RogersLegalactsasthebackboneoftheGroupwithregardstolegal,regulatoryandcompliancematters.ItassiststheGrouponallstrategicprojectsincludingadvisingoninvestmentsanddisinvestments,draftingandvettingofcontractualdocumentsandregistrationandrenewalofbrands.Inconcertwithexternallawyers,itensuresthatthelegalinterestsoftheGrouparesafeguarded.

RISK AND AUDIT

TheRisk&AuditDepartmentprovidesassurancetotheBoardthatadequatecontrolsareinplacetosafeguardtheGroup’sincomeandassets.Inaddition,itensuresthatrisksareidentified,assessedandmitigatedsoastoenableoperationalandfinancialsuccess.Arisk-basedinternalauditingapproachisusedtodeterminethemostefficientuseofthedepartment’sresourcesandtoensurethatthemostsignificantresidualrisksareaddressedasamatterofpriority.Inaddition,thedepartmentactsasabusinessadvisorandassistsManagementwherepossibleinachievingitsstrategicgoals.


Corporate Office

Our PeopleHR Demographics

90%

Employees 13 Countries 4 Served Markets

of our workforce is based in Mauritius

60%of our employees are below 35 years

3%in the past year

4,545

Rogers expanded itsemployee base by

Headcount by Sector


410

Corporate67

Technology567

Logistics1176

Financial Services143

Aviation509

Hotels1673

Headcount by Generations*

Baby Boomers14%

Gen Z10%

Gen X29%

Gen Y47%

By Employee Category

Managers8%

Staff40%

Operatives52%

*Pleaserefertopage85.


Our People

Gender Distribution

39%Females

61%Males

Our People


Gender by Sector50%

48% 52%

41% 59%

62% 38%

72% 28%

70% 30%

48% 52%

42% 58%

Male Female

Technology


Logistics

Hotels

Financial Services

Corporate

Aviation

Generations by Sector

Technology


Logistics

Hotels

Financial Services

Corporate

Aviation

42% 40%11%14% 4%

28%

3% 71% 15%11%

Baby Boomers (From 1941 to 1964)* Gen X (From 1965 to 1979) Gen Y (From 1980 to 1994) Gen Z (From 1995 to 2010)

37% 39%21% 3%

4% 20% 69% 7%

7% 28% 50% 15%

35%23% 39% 4%

30%38% 27% 5%


HR Development

Employees trained for a total of 43,500 man-hours

2,500Invested in Training & Development across the Group

Rs 22mOur investments in training covered

of our employee base

55%

Training Investment by Sector (Rs m)

Technology


Logistics

Hotels

Financial Services

Corporate

Aviation 1.5

6.9

3.6

2.1

2.9

1.5

3.5

Our People


% Employees Trained by Sector

Technology


Logistics

Hotels

Financial Services

Corporate

Aviation

Rogers Group 55%

48%

31%

81%

74%

85%

25%

20%

Training Investment by Focus Area

IT & Digital9%

Technical skills39%

People &

Leadership skills52%


Statement of Compliance(Section 75(3) of the Financial Reporting Act)

Name of PIE: ROGERS AND COMPANY LIMITED

Reporting Period: 1 July 2015-30 June 2016

We,theDirectorsofRogersandCompanyLimited,confirmthattothebestofourknowledge,thePIEhascompliedwithallofitsobligationsandrequirementsundertheCodeofCorporateGovernance.

SIGNEDBY:

Jean-PierreMontocchio PhilippeEspitalier-NoëlChairman Director&CEO

8September2016


Statement of Compliance

Corporate Governance Report1. COMPLIANCE STATEMENT

Fortheyearunderreview,RogersandCompanyLimited(“Rogers”orthe“Company”)hascompliedwiththeprovisionsoftheCodeofCorporateGovernanceforMauritius(the“Code”).

2. GOVERNANCE STRUCTURE

ThegovernanceframeworkandcommitteestructuresetupbytheBoardofRogerstohelpitfulfilitsobligationsareasfollows:

Rogers and Company LimitedBoard of Directors

Corporate Governance Committee (CGC)

Risk Management and Audit Committee (RMAC)

Delegated authorities: Recommends to the board:

> Corporategovernanceprovisionstobeadopted

> Executiveremunerationandindividualdirectors’remuneration

> Boardandseniormanagementappointments

Delegated authorities:

> AssiststheBoardinitsdutiesrelatingtoriskmanagement,safeguardingofassets,theoperationofadequatesystems,controlprocessesandthepreparationofaccuratefinancialreportsandstatementsincompliancewithlegalrequirementsandaccountingstandards.

Withaviewtoimprovingthedecision-makingprocessandaccountabilitywithintheGroup,Rogershasadoptedthefollowinggovernanceframeworkwithregardstoitssubsidiaries:

a)separatesub-holdingBoardshavebeensetupatsectoriallevel;

b)separateCorporateGovernanceandRiskManagementandAuditCommitteeshavealsobeensetupatthelevelofAscenciaLimitedduetothenature,sizeandspecificityofitsbusiness;and

c)thegovernance,riskandauditissuesrelatingtothebusinessactivitiesofthesubsidiariesofRogersoperatinginthehotels,logistics,property(excludingAscenciaLimited),andFintechsectorsareoverseenbytheCGCandtheRMAC.


Corporate Governance Report

3. SHAREHOLDERS

3.1 Holding Structure and Common Directors

Asat30June2016,thesubstantialshareholdersofRogerswereRogersConsolidatedShareholdingLimited(“RCSL”),ENLLandLtd(“ENLL”)andtheNationalPensionFund,whichrespectivelyheld53.00%,6.73%,and5.49%oftheissuedsharecapitaloftheCompany.RCSLiswhollyownedbyENLL,whichisitselfasubsidiaryofENLLtd.

TheultimateholdingentityofENLLtdisSociétéCaredas,a“sociétécivile”registeredinMauritius.

ThecommonDirectorsateachlevelaresetoutinTable1.

Table 1: Common Directors at each level

Directors Société Caredas ENL Ltd ENLL RCSL

Eric Espitalier-Noël ✓ ✓ ✓ ✓

Gilbert Espitalier-Noël ✓ ✓ ✓ -

Hector Espitalier-Noël ✓ ✓ ✓ ✓

Philippe Espitalier-Noël ✓ ✓ - ✓

Jean-Pierre Montocchio - - ✓ -

3.2 Share Ownership

Asat30June2016,theCompanyhad2,613shareholders.

Abreakdownofthecategoriesofshareholdersandtheshareownershipasat30June2016aresetoutinTables2and3respectively.

Table 2: Breakdown of shareholders by category

Category Numberofshareholders Numberofsharesowned %oftotalissuedshares

Individuals 2,238 35,706,390 14.17

Insurance and assurance companies 20 15,863,432 6.29

Pensions and provident funds 54 27,708,704 10.99

Investment and trust companies 40 21,319,271 8.46

Other corporate bodies 202 151,447,503 60.09

2,554* 252,045,300 100.00


Table 3: Share Ownership

Numberofshares Numberofshareholders Numberofsharesowned %oftotalissuedshares

1 - 500 582 117,481 0.05

501 – 1,000 235 205,918 0.08

1,001 - 5,000 691 1,833,518 0.73

5,001 - 10,000 317 2,409,037 0.96

10,001 - 50,000 529 11,123,886 4.41

50,001 - 100,000 81 5,830,413 2.31

100,001 - 250,000 64 9,812,379 3.89

250,001 - 500,000 20 7,140,225 2.83

over 500,000 35 213,572,443 84.74

TOTAL 2,554* 252,045,300 100.00

* The above number of shareholders is indicative, due to consolidation of multi-portfolios for reporting purposes. The total number of active shareholders as at 30 June 2016 was 2,613.

3.3 Ownership Restrictions

TheconstitutionofRogersprovidesthatnoshareholder,otherthanthoseexistingbeforeitsadoption,shallholdmorethan10%oftheissuedsharecapitaloftheCompanywithoutthepriorauthorisationoftheBoard.

3.4 Shareholder Communication and Events

RogerscommunicateswithitsshareholdersthroughitsAnnualReport,Investors’News,publishedunauditedquarterlyresults,dividenddeclarationsandAnnualMeetingofShareholders.TheExecutiveTeamofRogersmeetstheinvestorcommunitytwiceyearlytobriefthemontheCompany’sstrategy,financialperformance,investmentsanddisinvestments.

Fortheyearunderreview,thekeyeventsandshareholdercommunicationofRogersaresetoutinTable4.

Table 4: Key events and shareholder communication

Month Event Month Event

October2015 AnnualMeetingofShareholders February2016 2ndquarterresultsInvestors’Briefing

November2015 1stquarterresults May2016 3rdquarterresults

December2015 Interimdividend(declaration) June2016 Finaldividend(declaration)

January2016 Interimdividend(payment) July2016 Finaldividend(payment)

September2016 Preliminaryresults


3.5 Dividend Policy

Rogershasnoformaldividendpolicy.PaymentofdividendsissubjecttotheprofitabilityofRogers,itsforeseeableinvestment,capitalexpenditureandworkingcapitalrequirements.

Fortheyearunderreview,theCompanydeclaredaninterimdividendofRe0.32pershareandafinaldividendofRe0.56pershare(ascomparedtoRe0.30andRe0.54respectivelyforthepreviousyear).

3.6 Share Price Information

FormoreinformationonthesharepriceofRogers,pleaserefertopage47.

4 BOARD

4.1 Composition of the Board

RogerswasheadedbyaunitaryBoardcomprisingtwelveDirectors,underthechairmanshipofMrJean-PierreMontocchio,whohadnoexecutiveresponsibilities.At30June2016,therewerethreeExecutiveDirectorsandnineNon-ExecutiveDirectors,sixofwhomsatisfiedtherequirementsoftheCodefor“Independent”directors.MrHerbertCouacaudresignedasdirectoroftheCompanyon1July2015.InSeptember2015,theCorporateGovernanceCommittee,actinginitscapacityasNominationCommittee,reviewedthecompositionoftheBoardanduponitsrecommendation,theboardofdirectorsappointeda)MrVivianMassonasDirectoroftheCompanytofillupthecasualvacancyarisingoutofMrCouacaud’sresignation,andb)MrPhilippeForgetasthirteenthDirectoroftheCompany.BothMessrsMassonandForgetheldofficeasDirectorsoftheCompanyuntiltheAnnualMeetingofShareholderswhichtookplaceon23October2015,atwhichmeetingtheywereelected.MrNaderasenPillayVeerasamydidnotsubmithimselfforre-electionatthesaidAnnualMeetingofShareholders.

TheChairmanoftheBoardiselectedbyhisfellowDirectorsandisresponsibleforleadingtheBoardanditseffectiveness.ThefunctionsandresponsibilitiesoftheChairmanandChiefExecutiveareseparate.TheChiefExecutiveiscontractuallyresponsiblefor:

a)developingandrecommendingthelong-termvisionandstrategyoftheGroup;

b)generatingshareholdervalue;

c)maintainingpositive,reciprocalrelationswithrelevantstakeholders;

d)creatingtheappropriatehumanresourcesframeworktoidentifytherightresources,trainthem,drivethemtohigherperformanceandmaintainaconduciveteamspirit;

e)formulatingandmonitoringbudgetsandfinancialsoftheGroup;and

f)establishingtheoptimuminternalcontrolandriskmanagementframeworktosafeguardtheassetsoftheGroup.

TheBoardhasabroadrangeofskills,expertiseandexperiencerangingfromaccounting,bankingandcommercialtotourism,logistics,financialandlegalmatters.


InlinewiththeCode,allDirectorsstandforre-electiononayearlybasis.ThenamesofallcurrentDirectors,theirprofilesandcategoriesaswellastheirdirectorshipsinotherlistedcompaniesaresetoutfrompages16to21.

4.2 Role of the Board

TheBoardisaccountableandresponsiblefortheperformanceandaffairsoftheGroup.Itsroleincludesthedetermination,reviewandmonitoringoftheGroup’sstrategicplan,monitoringoftheGroup’sfinancialperformanceagainstbudget,approvalofkeyacquisitions/disposalsandcapitalexpenditure.TheBoardisalsoresponsiblefortheGroup’sriskmanagementandinternalcontrolprocesses.

TheBoardpromotes,encouragesandexpectsopenandfrankdiscussionsatmeetings.Boardmeetingsprovideaforumforchallengingandconstructivedebate.DirectorsareexpectedtoattendeachBoardMeetingandeachmeetingoftheCommitteesofwhichtheyaremembers,unlessthereareexceptionalcircumstancesthatpreventthemfromsodoing.TheChairmanandtheChiefExecutive,incollaborationwiththeCompanySecretary,agreethemeetingagendastoensureadequatecoverageofkeyissuesduringtheyear.

Fortheyearunderreview,themainBoarddeliberationsaresetoutinTable5.

Table 5: Main Board Deliberations

Sep-15 Appointed (a) Vivian Masson to fill up the casual vacancy arising out of the resignation of Herbert Couacaud, and (b) Philippe Forget as thirteenth director

of the Company. Both Messrs Masson and Forget were appointed to hold office as Directors of the Company until the Annual Meeting of Shareholders of

23 October 2015, at which they were elected.

Approved the following acquisitions by its subsidiary, Ascencia Limited:

• 34.9% stake in Bagaprop Limited; and

• 100% stake in Gardens of Bagatelle Ltd.

Approved the acquisition of a 25.0% stake in Mall of Mauritius at Bagatelle Ltd by its subsidiary, Foresite Property Holding Ltd.

Approved the acquisition of General Cargo Services and General Cargo Transport in Kenya by VK Logistics Ltd in a joint venture partnership with KIBO Fund II.

Approved the audited abridged financial statements and Rogers Annual Report 2015.

Received the reports of the Chairmen of the RMAC and CGC.

Nov-15 Approved the 1st quarter results of the Group.

Reviewed the performance of Rogers and its Sectors against budget.

Approved the refurbishment works at Centre Commercial Phoenix.

Approved the restructuring of its investment, Biofarms Limited with Bioculture (Mauritius) Ltd (“BCM”), following which Rogers will acquire 11% from the

shareholders of BCM.

Approved the participation of Ascencia Limited in ENL Property Ltd’s mixed-use building project comprising retail and office facilities at Floreal for an amount of Rs 120m.

Received the report of the Chairman of the RMAC.

Dec-15 Reviewed the performance of Rogers and its Sectors against budget.

Approved the payment of interim dividend.

Reviewed the composition of the RMAC.


Feb-16 Approved the 2nd quarter results of the Group.


Approved the sale of Reliance businesses to Brinks.


May-16 Approved the 3rd quarter results of the Group.



Strategy Governance FinancialandRiskManagement Business

4.3 Board Charter

TheBoardisoftheviewthatthecurrentlegislation,rules,guidelinesandCodealreadydefinestheresponsibilitiesoftheDirectorsandthereisnoneedtoadoptaBoardCharterwhichwillbearepetitionofthesedutiesandresponsibilities.

4.4 Director Induction and Board Access to Information and Advice

OnappointmenttotheBoardand/oritsCommittees,DirectorsreceiveacomprehensiveinductionpackfromtheCompanySecretaryandaninductionprogrammeisorganisedtointroducethenewlyelectedDirectorstotheGroup’sbusinessesandSeniorExecutives.

AllDirectorshaveaccesstotheCompanySecretaryandtotheSeniorExecutivestodiscussissuesortoobtaininformationonspecificareasoritemstobeconsideredatBoardmeetingsoranyotherareatheyconsiderappropriate.

Furthermore,theDirectorshaveaccesstotherecordsoftheCompanyandtheyhavetherighttorequestindependentprofessionaladviceattheexpenseoftheCompany.TheBoardanditsCommitteesalsohavetheauthoritytosecuretheattendanceatmeetingsofthirdpartieswithrelevantexperienceandexpertiseasandwhenrequired.

4.5 Board Performance Review

ABoardevaluationexercisewascarriedoutinJune2016intheformofaquestionnairecoveringsuchaspectsastheperformanceoftheBoard,itsprocedures,practicesandadministration.TheoutcomeoftheexercisewasconsideredbytheCorporateGovernanceCommitteeinAugust2016andthereafterbytheBoardinSeptember2016.WhilsttheevaluationhasunderlinedtheBoard’sareasofstrengths,thisexercisehasalsohelpedidentifyareasforimprovement,theimplementationofwhichhasbeenplannedforthesecondquarterofthefinancialyearending30June2017.Overall,theDirectorswereoftheopinionthattheBoardfunctionedwell.


4.6 Interests of Directors

AllDirectors,includingtheChairman,declaretheirdirectandindirectinterestsinthesharesofRogers.TheymoreoverfollowtheModelCodeforSecuritiesTransactionsasdetailedinAppendix6oftheStockExchangeofMauritiusListingRuleswhenevertheydealinthesharesoftheCompany.

Directors’dealingsinthesharesoftheCompanyfortheyearunderreviewaresetoutinTable6.

Table 6: Dealings in the Shares of Rogers by Directors

Names No. of shares acquired No. of shares disposed of

GuyAdam 285,000 -

VivianMasson 33,200 -

PhilippeForget 1,000 -

Asat30June2016,thedirectandindirectinterestsoftheDirectorsinthesharesoftheCompanywereassetoutinTable7.

Table 7: Interests of Directors in the Shares of Rogers

DIRECTORS SHARES

DIRECT INTEREST%*

INDIRECT INTEREST %*

GuyAdam 0.9998 Nil

ZiyadBundhun 0.0159 Nil

ArunaRadhakeesoonCollendavelloo 0.0214 0.0189

PatrickdeLabauved’Arifat Nil Nil

EricEspitalier-Noël Nil 3.7300

HectorEspitalier-Noël Nil 3.9830

GilbertEspitalier-Noël 0.0073 3.6529

PhilippeEspitalier-Noël 0.0094 3.8597

PhilippeForget 0.0004 Nil

VivianMasson 0.0140 Nil

Jean-PierreMontocchio 0.0209 0.0351

AlainRey Nil Nil

* Figures rounded up to 4 decimal places

NB: Number of issued shares as at 30 June 2016 is 252,045,300


4.7 Indemnities and Insurance

Adirectors’andofficers’liabilityinsurancepolicyhasbeensubscribedtoandrenewedbyRogers.ThepolicyprovidescoverfortherisksarisingoutoftheactsoromissionsoftheDirectorsandOfficersofRogersGroup.Thecoverdoesnotprovideinsuranceagainstfraudulent,maliciousorwilfulactsoromissions.

4.8 Share Option Scheme

ThereisnoemployeeshareoptionschemeattheleveloftheCompany.

5 BOARD COMMITTEES

TheBoardhassetupaCorporateGovernanceCommitteeandaRiskManagementandAuditCommitteetoassistinthedischargeofitsduties.

Thefunctionsandresponsibilitiesofeachcommitteeareoutlinedinthecommittee’swrittentermsofreferencewhichhavebeenapprovedbytheBoard.ThesetermsofreferencemeettherequirementsoftheCodeandarereviewedeachyear.TheyareavailableontheRogers’website.

TheChairmenofbothcommitteesreportorallyontheproceedingsoftheirrespectivecommitteesattheBoardmeetingsofRogers.TheminutesofthemeetingsoftheRMACareincludedintheBoardpackdistributedtoBoardmembersinadvanceofBoardmeetings.

AsummaryofthekeyresponsibilitiesofthesecommitteesaswellastheircompositionaresetoutinTable8.

Table 8: Key Responsibilities of Committees and their Composition

Committee Key ResponsibilitiesCorporate Governance Committee

(also serves as Remuneration and Nomination Committees)

(a) Make recommendations to the Board on all corporate governance provisions to be adopted so that

the Board remains effective and complies with prevailing corporate principles and practices.

(b) Ensure that the disclosure requirements with regard to corporate governance, whether in the

Annual Report or other reports on an ongoing basis, are in accordance with the principles of the

applicable Code of Corporate Governance.

(c) Make recommendations to the Board on all new Board appointments.

(d) Review through a formal process the balance and effectiveness of the Board.

(e) Develop a policy on executive remuneration and for fixing the remuneration and benefit packages

of individual Directors, within agreed terms of reference, to avoid potential conflicts of interest.

(f) In relation to the remuneration of non-executives, make recommendations to the full Board.

Members: Up to 30 June 2016: Jean Pierre Montocchio (Chairman), Dr Guy Adam, Eric Espitalier-Noël and

Philippe Espitalier-Noël


Committee Key ResponsibilitiesRisk Management and Audit Committee (a) Ensure that:

• All risks are reviewed and managed to an acceptable level in the business.

• All internal accounting, administrative and risk control procedures are designed to provide ongoing

assurance that assets are safeguarded.

• Transactions are executed and recorded in accordance with the Company’s policy.

(b) Review:

• Important accounting issues.

• Changes in legislation that will give rise to changes in practice.

• Compliance with regard to specific disclosures in the financial statements.

• Quarterly, preliminary and annual reports as well as any other financial reports.

Members: Gilbert Espitalier Noel resigned as member of the RMAC on 7 July 2015. The composition of the

Committee was reviewed by the Board in December 2015 and at 30 June 2016, members of the

RMAC were: Alain Rey (Chairman), Patrick de Labauve d’Arifat, Philippe Forget and Vivian Masson.

During the financial year under review, Mr Naderasen Pillay Veerasamy and Dr Guy Adam were co-

opted for the RMAC meeting of 3 September 2015 and Mr Ziyad Bundhun was co-opted for the

RMAC meeting of 5 November 2015 due to a lack of quorum at the said two meetings.

Attendee: Richard Le Boutet, Head of Internal Audit & Risk Management (up to March 2016)

Riaz Chitamun, Head of Internal Audit & Risk Management (as from 1 May 2016)

6 STATEMENT OF REMUNERATION PHILOSOPHY

6.1 Non-Executive Directors’ Remuneration

ThefeespaidtoNon-ExecutiveDirectorshavebeenrecommendedtotheBoardbytheCGC(actingastheRemunerationCommittee)basedonasurveycarriedoutbyanindependentconsultantin2004.Suchfeeshavesincebeenreviewedin2007andanewinDecember2012.

Thefeesarecalculatedinthefollowingmanner:(a)abasicmonthlyfee;and(b)anattendancefee.Committeemembersarepaidamonthlyfeeonly.TheChairmanoftheBoardandtheChairmenoftheBoardCommitteesarepaidahighermonthlyfee.

6.2 Executive Directors’ Remuneration

TheExecutiveDirectorsarenotremuneratedforservingontheBoardanditsCommittees.TheirremunerationpackageasemployeesoftheCompany,includingtheirperformancebonus,whicharealignedtomarketrates,aredisclosedinTable9.

TheperformancebonuseswhicharepayablearesubjecttotheperformanceoftheCompanyaswellasthejobholderandcouldgoupto50%oftheannualbasicsalary.

ThefeespaidtotheDirectorsoftheCompanyfortheyearunderreviewaresetoutinTable9.


Table 9: Attendance at Board and Committee Meetings and Annual Meeting of Shareholders and Directors’ Remuneration

Directors BoardBoard Corporate

Governance Committee

Board Risk Management

& Audit Committee

Annual Meeting of

Shareholders

Remuneration and benefits

(Rs)

Dr Guy Adam 7/7 2/2 1/4 1/1 530,000

Ziyad Bundhun 7/7 n/a 1/4 1/1 8,963,665

Aruna Radhakeesoon Collendavelloo 6/7 n/a n/a 1/1 7,321,170

Herbert Maingard Couacaud > 0/7 n/a n/a 0/1 -

Patrick de Labauve d’Arifat 6/7 n/a 3/4 1/1 490,000

Eric Espitalier-Noël 7/7 2/2 n/a 1/1 500,000

Gilbert Espitalier-Noël 5/7 n/a 0/4 ¬ 1/1 341,364

Hector Espitalier-Noël 5/7 n/a n/a 0/1 340,000

Philippe Espitalier-Noël 7/7 2/2 n/a 1/1 18,078,102

Philippe Forget 6/7 n/a 2/4 ° 1/1 398,629

Vivian Masson 5/7 n/a 2/4 ° 0/1 358,629

Jean-Pierre Montocchio* 7/7 2/2 n/a 1/1 880,000

Alain Rey** 7/7 n/a 4/4 0/1 700,000

Naderasen Pillay Veerasamy*** 1/7 n/a 1/4 1/1 126,591

> Resigned on 1 July 2015

* Chairman of the Board and Corporate Governance Committee

** Chairman of the Risk Management and Audit Committee

*** Ceased to be a Director on 23 October 2015

¬ Ceased to be a member of the RMAC as of 9 July 2015

° Appointed as members of the RMAC in December 2015

6.3 Employee Remuneration

Salariesaregenerallydeterminedbyacombinationofinternalequity,externalcompetitivenessandperformanceoftheemployee.Everytwoyears,remunerationsurveysarecarriedoutsoastobenchmarkwithpracticesintherelevantindustries.ThisisusedtoreviewandupdateinternalsalaryscalesandbenefitsbandsacrosstheGroup.

7. INTERNAL CONTROL, INTERNAL AUDIT AND RISK MANAGEMENT

TheinternalcontrolsystemsofRogers,theactivitiesoftheRisk&AuditdepartmentandtheriskmanagementprocessoftheGroupareexplainedfrompages105to116.


8. OTHER GOVERNANCE MATTERS

8.1 Profiles of Senior Executives

FortheprofilesofSeniorExecutives,pleaserefertopages24to29.

8.2 Statement of Interests of Senior Officers (excluding Executive Directors)

Table10setsoutthedirectandindirectinterestsofseniorofficers(excludingExecutiveDirectors)asat30June2016asrequiredbytheSecuritiesAct2005.

Table 10: Statement of Interests of Senior Officers (excluding Executive Directors)

SURNAME OTHER NAMESDirect Interest

(%)Indirect Interest

(%)

BUNDHUN Manish - -

CHITAMUN Riaz - -

CURÉ Karine - -

EYNAUD François 0.0009 -

FAYD'HERBE DE MAUDAVE Alexandre - -

KOENIG Richard - -

LE BOUTET** Richard - -

LENETTE Didier - -

MAMET Damien - -

NUNKOO Nayendranath - -

RAMLACKHAN* Kaushall - -

RUHEE Ashley Coomar 0.0008 -

TYACK Frédéric - -

* Until 31 December 2015

** Until 31 March 2016


8.3 Code of Ethics

RogershasadoptedaCodeofEthicswhichspellsoutthegeneralobligationsandbusinessetiquetteemployeesareencouragedtoabideby.AMalpracticeReportingPolicywasalsoadoptedin2010andanEqualOpportunitiesPolicyhasbeenadoptedbytheGroup.Nobreachofethicsormalpracticewasreportedfortheyearunderreview.

8.4 Health and Safety Policy

TheANSI/AIHAZ10-2012safetymanagementsystem(SMS)isbeingusedcurrentlyacrosstheGroup.AstherearedemandsdemandsformoreinternationallyrecognisedSMSfrompartnersabroad,theCompanyisevaluatingtheimpactandrelevancyofswitchingtoISO450000standard.

8.5 Related Party Transactions

Fordetailsonrelatedpartytransactions,pleaserefertopage206.

8.6 Management Agreements

Therearenomanagementagreementsbetweenthirdparties(wheresuchthirdpartyisadirectorofRogers,oraCompanyownedorcontrolledbyadirectorofRogers)andRogers.

8.7 Donations

Forpoliticalandcharitabledonations,pleaserefertopage118.

KareenNgCompanySecretary8September2016


“The Group is characterised by a high risk awareness culture and the RMAC continues to play a key oversight role for the Board.”

Risk Management and Audit Committee ReportDearShareholder,

OnbehalfoftheRiskManagementandAuditCommittee(RMAC),Iampleasedtopresentthereportforthisfinancialyear2016.ThisreportdetailstherolesandresponsibilitiesoftheCommitteeandtheworkcarriedoutduringtheyear.ItrustthatitwillbevaluabletoshareholdersandstakeholdersintheirappreciationoftheaccomplishmentoftheCommittee’sobjectives.

TheGroupischaracterisedbyahighriskawarenessculture,establishedbystrongprocessesandefficientdecision-making,whichaimsatassistingintheidentificationandmanagementofrisks.TheRMAChascontinuedtoplayakeyoversightrolefortheBoardbyplacingsignificantemphasisonsustainingthestandardofthefinancialreportingprocess,aswellasassessingManagement’sjudgementonmajoraccountingtreatmentsandtheworkcarriedoutbythirdparties.

WehaveconsideredanumberofchallengesfromtheGroup’sbusinessesbyplacingsignificantfocusonsafeguardingtheeffectivenessandindependenceoftheinternalandexternalauditprocesses.SpecialconsiderationwasgiventoimprovingtheGroup’sinternalcontrol,governanceandriskmanagementsystems.

Ahigh-levelreviewofstrategicriskswasundertakenthisyearwherebysectorshaveupdatedtheirriskregisterstoreachthe‘Top5’risks.TheimpactonourrisklandscapeiscloselybeingscrutinisedandmonitoredbyManagementanditsaimistoprovideanupdateontheidentificationandmitigationstrategiesofrisks.ThroughtheGroup’sBusinessRiskRegisters,wereviewedManagement’splansandmitigatingactionstoensurethatallkeyrisksareappropriatelyandsystematicallyprioritised,resourcedandtreated.RMACmembersusetheirexperiencegainedinotherbusinessestochallengeandadviseManagementandinthisway,keyrisks

areconstantlymonitoredwhilstmitigatingactionsaretakenwiththecollaborationofManagementandourinternalauditteam.

TheRMACcontinuestoreviewcloselyanycontrolfailuresidentifiedininternalauditreportsorotherwiseandmonitorstheprogressonManagement'simplementationofrecommendationsandactionplans.Whererequired,sectorialChiefExecutiveOfficersarewelcometogiveaninsightonchallengesfacedandthestrategiesusedtomanagethoserisks.ThedetectionofafraudofRs.9.5m(P&Limpact)atoneoftheGroupcompaniesduringtheyearwassatisfactorilyandpromptlydealtwithbymanagement.ThisisolatedbreakdowninoneoftheinternalcontrolsinplacehighlightstheneedforManagementtoremainvigilantatalltimes.

TheprogressmadetowardstheachievementoftheGroup’sstrategicplanisalsomeasured.Initswork,theRMAChassoughttobalanceindependentoversightofthebusinesswiththesupportandguidanceofManagement.

Theprogressfromlastyearshiftedtowardscreatingagreaterawarenessonfinancialcontrolssoastoimprovetheinternalcontrolenvironment.EventsoccurringduringtheyearthatarebelowtheriskthresholdaredealtwithbyManagementandifneeded,amanagementpresentationismadetothemembersoftheRMACfortheirunderstandingandtoprovideassurancethatsuchriskshavebeenremediedandwillnotoccuragain.

WehavetakencognizanceofthenewCodeofCorporateGovernanceforMauritius(2016)whichencourageshigh-qualitycorporategovernancewithgreaterflexibilitycoupledwiththemethodology“applyandexplain”.ThefirsttimeapplicationoftheCodeforRogerswillfullybeimplementedduringthefinancialyear2017andweareplanningtoupdatetheRMACcharteraccordingly.


Risk Management and Audit Committee Report

2016 in overview

TheRMACcarriedoutitsdutiesasrequiredbySection3ofthecharteroftheRMACandinaccordancewithitsannualplanadoptedtomanagethedischargeofitsresponsibilities.ThescheduleofbusinesscoversthekeyareaswithintheCommittee’sremitandensuresthatmembershavetheinformationtheyneedtogiveproperconsiderationtoallmattersbroughtbeforethem.

Setoutbelowaresomehighlightsforthefinancialyear2016.

FINANCIAL REPORTING

> Reviewofquarterlyreporting.

> ReviewtheAnnualReport2015.

> TakenoteandanalysetheGroup’sperformanceandposition.

> Takenoteoftheabridgedauditedfinancialstatements.

> RecommendadoptionofsuchstatementstotheBoardofDirectorspriortopublicationandfiling.

> Reviewsignificantmattersandjudgementsincludingthevaluationofinvestmentproperties.

> TakenoteofthelitigationregistersfortheGroupandpossiblefinancialimpact.

EXTERNAL AUDIT

> Assesstheeffectivenessandperformanceofexternalauditorsandtheircontinuingindependencewithregardtoauditandnon-auditservices.

> ReviewConsolidatedManagementLetters’pointsandassessissuesandactionplans.

> TakenoteofupdatedaccountingpoliciesfollowingrecentrequirementsbyIFRSandimpactonRogers’financialstatements.

> TakenoteoftheInterimFinancialReportsissued.

HEALTH & SAFETY

> Ensurethatthehealth,safetyandenvironmentalriskidentificationprocessesleadtosoundmanagementstrategieswiththeGroup’svariousfieldsofactivities.

> TakenoteoftheconsolidatedGroup’shealth&safetyreport(OSHcoverandmajorissuesintheGroupanditssubsidiaries).

> Takenoteoflegalproceedings.

RISK GOVERNANCE & INTERNAL CONTROL

> AppointtheHeadofInternalAudit&RiskManagement/assessfutureHRneedsinlinewiththeproposedinternalauditplan.

> ReviewExecutiveSummaries/specialengagementreportsandassessadequacyofrecommendations/actionplansandfollowupofactionplans.

> Ensurerolesandfunctionsofexternalandinternalauditsareclarified,co-ordinatedandeffective.

> EnsurehigheststandardsofbehaviourwithintheGroup.

> Evaluateeffectivenessofinternalcontrolandriskmanagementsystem.

> EnsureadherencetotheRogersGuidelines&PoliciesManual(RGPM).

2016 Activities


Outlook & Conclusion

Basedontheactivitiescarriedoutin2016,theRMACbelievesthattherewerenomaterialshortcomingsinthedesignandeffectivenessofinternalcontrols,governanceandriskmanagementduringtheyear.TheRMACdischargeditsresponsibilitiesaccordingtoitsmandate.Lookingahead,theRMACwillremainfocusedontheaudit,assuranceandriskprocessesacrosstheGroupandmaintainitsoversightoffinancial,environmentalandotherregulatoryrequirements.Thetakeawaysforthefinancialyear2017willbeanchoredon:

• Monitoringthemutualrelationshipwiththeinternalauditfunctionbyprovidingoversightofinternalaudit;

• Supportingindependenceanddevelopingahighlycompetentinternalauditfunctionalignedwiththeneedsofcorporategovernanceandmutuallydetermineimportantrisksandobjectives;

• Supportingtheriskmanagementworkachievedsofarandtheprogressinmaturity;

• SettingrisktoleranceandriskappetitemeasuresandtargetsfortheGroup;

• Establishingariskreportingandescalatingprotocolformostcriticalandlowestrisks;

• EvaluatingtheeffectivenessoftheRMAC;and

• Settingthefoundationforanintegratedreportingframework.

OnbehalfoftheRMACandinmypersonalname,IwishtothanktheCEOandtheManagementofalltheGroup’sbusinesses,ourexternalauditors,BDO&Co.,theinternalauditteamandtheRMACmembersfortheircontributionswhichhaveenabledtheCommitteetodischargeitsdutiesandresponsibilitiestothebestofitsabilities.

OnbehalfoftheRMAC,

Alain Rey

Chairman,RiskManagementandAuditCommittee

31August2016


RMAC structure and effectiveness

TheRMACaimsatenhancingthediversityofitsmembers’areaofexpertise.Itoperateswithinaformalcharter:ItischairedbyanIndependentNon-ExecutiveDirectoralongwithothermemberswhoarealsoIndependentNon-ExecutiveDirectors.Theyarechosenonthebasisoftheircorporateleadershipskills,experienceandexpertisewhichtheyacquiredbyholdingseniorofficeinbusinesses.TheydischargetheirdutiestothebestinterestoftheGroupasawhole.

RMAC

Permanent Members

In Attendance

Alain Rey

Philippe Forget

Vivian Masson

Patrick de Labauve d’Arifat

Financial

Regulatory

Capital markets

Legal & Regulatory

Mergers & Acquisitions

Agriculture & Agro-Industry

Risk Management

Wide base of Non-Executive Director experience

Strategy

Financial acumen

Governance

Statistical science

Research & Development

International business

Alain Rey

Philippe Forget

Vivian Masson

Patrick de Labauve d’Arifat

Gilbert Espitalier-Noël

Guy Adam

Ziyad Bundhun

Naderasen Pillay Veerasamy

Member since

07-Dec-12

10-Dec-15

10-Dec-15

23-Jan-13

Resigned (9-Jul-15)

Co-opted

Co-opted

Co-opted

Attendance

Q1 Q2 Q3 Q4

Chief Finance & Investment Executive

Head of Internal Audit & Risk Management

External auditors

Sectors’ Chief Executives

Sectors’ Chief Finance Officers

Health & Safety Manager

Right balance of skills, experience and expertise to

make a meaningful contribution

to the Rogers Group

EXP

ERIE

NC

ESK

ILLS

ATT

END

AN

CE


“At Rogers, we believe that effective risk management is critical to the achievement of our strategic objectives and the long-term sustainable growth of our business”.

Philippe Espitalier-Noël, CEO

RISK MANAGEMENT FRAMEWORK

AtRogers,riskmanagementisembeddedinourday-to-dayactivitiesandplaysafundamentalroleonhowweworkacrosstheGroup.Ourriskmanagementframeworkisakeycomponentofourbusinessmodelandisdesignedprimarilytoprotectourshareholders,people,assets,reputationandclients’interests.

Givenourdiversifiedactivities,geographicallocationsandlegalframeworkinwhichweoperate,riskawarenessandriskmanagementareessentialtoallouractions.

Inordertoensurethatourriskmanagementframeworkmeetsourbusinessneeds,theBoard,togetherwithManagementensurethatourapproachtoriskmanagementremainsproactive,methodicalandintegrated.Ourriskmanagementprocessaimsatidentifyingnewandemergingrisksatanearlystage.

OverallaccountabilityforriskmanagementlieswiththeBoardwhicharticulatestherisksthattheGroupiswillingtotakeinpursuitofitsstrategiesthroughtheGroup’sriskappetite.Riskappetiteisavital,forward-lookingperspectivesinceitguidesManagementinassessingthelevelofacceptableriskswhiledevelopingitsstrategies.Theriskappetitealsosetsshareholders’expectationswithregardtothelevelofriskthatRogersiswillingtotake.

MajorrisksfacedbytheGroup,togetherwiththeidentifiedmitigatingmeasuresareregularlyassessedtoensurethattheGroup’sriskprofileisasexpected.Theserisksaredepictedonpage108.

This step defines the external and internal environment in which the Group operates.

Establish the Context

Self-assessment workshops are carried out within the various sectors. The purpose is to develop a consistent and sustainable approach aimed at identifying events which could impact the Group’s ability to achieve its strategic objectives.

RiskIdentification

Risks identified are assessed in terms of impact and probability during the voting session.

RiskAnalysis

Based on the outcome of the risk analysis, the risks are rated in terms of inherent risks, residual risks (current), residual risks (desired) and residual risk gap.

RiskEvaluation

Identification of risk mitigation strategies and controls to reduce the residual risk gaps.

RiskTreatment

Reporting is done at sectorial level and at the RMAC.

Management monitoring of the framework’soperation and ongoing review of the risk landscape by Risk champions.

Reporting

Monitoring&

Reviewing

Risk Governance & Internal ControlRisk Management


Risk Governance & Internal Control

Our Lines of Defence

Risksarechangingconstantlyinourrapidlymovingtimes.Itisthereforeessentialforriskmanagementtobeimplementedquicklyandinaneffectivewaywithoutsubsequentoperatingcosts.Forthistobeachieved,anagileframeworkhasbeenintegratedthroughouttheGroup.Theframeworkisbasedonafourlinesofdefenceapproachtoriskmanagementanddesignatesthevariousroles,responsibilitiesandaccountabilitiesforriskmanagement,riskreportingandriskescalationacrosstheGroup.Itincorporatestheoversight,managementandassuranceofriskmanagement,essentiallygivingfourindependentviewsofrisksintheorganisation.TheriskmanagementprocesshasbeeninstilledinthecultureoftheGroupanditsimplementationisamajorcontributortoitseffectivenessandthisisensuredbytheBoardandseniorManagement.TheBoardofDirectorsisalsoresponsibleforprovidinganoversightoftheGroup’sriskmanagementactivities.Our4linesofdefenceareillustratedasfollows:

PEOPLE, PROCESSES &

TECHNOLOGY1st line

• Theprocessesthatareputinplaceandthesystemsandcontrolsemployedtomanagerisksandexploitopportunities.Thesecontrolsareoperatedbyfrontlineemployees.

MANAGEMENT &

OVERSIGHT2nd line

• CommitteesandfunctionsthatoverseetheeffectiveoperationsofRogers’internalcontrolsframework,includingthecontrolactivitiesperformedinthefirstlineofdefence.

• Thesecondlineofdefenceincludestheestablishedriskmanagementactivitiesandcompliancefunctions.

INTERNAL AUDIT 3rd line

• Internalauditprovidesindependent,objectiveassuranceandisdesignedtoaddvalueandimproveRogers’operations.

• Itprovidesanindependentviewofhowwellrisksaremitigatedandcontrolsareoperating(actualresidualrisks).

EXTERNAL ASSURANCE 4th line

• Increasestheleveloftrustintheconclusionsreachedbyengaginganindependentthirdparty.

ThismodeladaptedtoRogers’needsisbothabottom-upandtop-downapproachendorsinganeffectivecommunicationflowamongstthedifferentplayers.TheBoardofDirectorsactsasa‘watchdog’ofthefourlinesofdefence.ItsetsthetonebyapprovingtheriskmanagementstrategyandisaccountableforRogers’internalcontrolsystem.ChangesinourriskprofilearehighlightedtotheBoardwhichregularlyreviewsandchallengeswhethertheGroup’sidentifiedprincipalrisksarebeingmanagedwhileensuringthatotherpotentialrisks,theirimpactsandtheopportunitiestheymaygiverisetoareanexplicitpartofitsdiscussions.



Risk Maturity Level

Ascomparedtolastyear(“repeatable”),Rogershaspositioneditselftothe‘defined’riskmaturitylevel.Inordertoassessandoverseetheriskmanagementprocessatbusinessandexecutivelevels,aformalisedgovernancestructurehasbeenimplemented.Thusthisgovernancestructureaimsatassessingtherisksassociatedwiththeevolutionandimplementationofanynewpolicy,programmeorservice.

TheGroupwillachieveitsstrategicobjectivesthroughthecollaborationandimplementationofitsframeworkandassociatedriskprofilesandactionplansbyputtinginplaceacultureofconstancyandprecisioninriskplanningandsubsequentactionplans.OuraimistocontinuouslyclimbtheladderandwebelievethatRogershasnotyetreachedanoptimumriskmaturitylevel.Embeddingriskmanagement‘ineverythingwedo’isalong-termprocessandrequiresconstantmonitoringandfine-tuningoftheframework.

INITIAL

REPEATABLE

DEFINED

MANAGED

OPTIMISED



Inherent and Residual Risks

Theprincipalstrategicrisks(inherent)thatRogersareexposedtoinabsoluteterms,i.e.intheabsenceofanyManagementactionsaretabledbelow.Suchriskshavebeenidentifiedduringtheriskidentificationphase.Thesearepotentialrisksthatcouldoccurintheeventofalackofcontrolsinplace.Theinclusionofariskdoesnotmeanthatithasmaterialisedorthatitisnotbeingmanaged-itmeansthatManagementhasidentifiedthisriskasanareaofprioritytoensurethatcontrolsareputinplacetomitigatetherisks.

Inherent (principal strategic) risks 2015 2016

• Abilitytoadapttochanges

• Concentration

• Contracting

• Forex

• Fundraising

• Health&Safety

• ICTinfrastructure/ITinfrastructure

• Innovation

• Legalandregulatorycompliance

• Liquidity

• Marketintelligence

• Projects,strategicpartnershipsandacquisitions(domesticandinternational)

• Skillsattraction,performanceandretention

• Stakeholderengagement

• Theft,fraudandcorruption

• Cyberthreats

• Development risk

• Financial reporting

-

-

-

NEW

NEW

NEW

EachsectoroftheGroupmaintainsitsownbusinessriskregisterswhicharereviewedandupdatedregularly.Afteradequatecontrolshavebeenputinplace,namelytheGroup’stopresidualrisksareidentifiedasfollows:

1. Skills,attraction,performanceandretention

2. MarketIntelligence

3. Innovation

4. Liquidity

5. Legalandregulatorycompliance



Managing our Top 5 Risks

Thetop5strategicrisksfortheGrouparebasedontheresidualriskgap(differencebetweenthecurrentlevelofriskandthedesiredlevelofresidualrisk).Thefollowingtablesdescribethetop5risksfacingtheGroupandthemeansthatareadoptedtomitigatethem.Wehavealsoincludedacomparativefromlastyear,inordertoseehowsuchriskshaveevolvedovertime.

1. SKILLS ATTRACTION, PERFORMANCE AND RETENTION RISK RISK AS AT JUNE 2016

High key staff turnover and shortage of skilled/qualified employees are essential issues which affect the Group’s performance, success and ability to match international benchmarks.

ROOT CAUSE:

• Industries’attractiveness• Poachingofstaff• Inabilitytoretainqualifiedemployees

COMMENTARY:

Therearemeasureswhichhavebeenintroduced,suchas:• Talentacquisitionandretention• Careergrowth• Trainingandtalentdevelopment• TransparentPerformance

ManagementSystem

IMPACT:

• Qualityofserviceisaffected• Reputationaldamage• Lowclientsatisfaction• Businessfailure

MITIGATION:

Adequaterewardsandrecognitionaswellasprovisionofappropriatetraininganddevelopmentopportunitiestoemployeesonacontinuousbasis.

CONCERNED SECTORS:

TheGroup

2. MARKET INTELLIGENCE RISK RISK AS AT JUNE 2016

The Group’s lack of relevant and/or reliable information on competitors may result in prices or rates that customers are indisposed to pay.

ROOT CAUSE:

Theendlessnewentrantsonthemarketandthelackofbenchmarkingexercise.

COMMENTARY:

Thereisaneedtoevaluatethetargetedmarketsthoroughly.SWOTanalysisandriskassessmentexercisestobeconductedaccordingly.Greateruseofexpertsunderco-sourcingarrangementswhenrequired.

IMPACT:

• Erosionofcustomerbase• Lossofcompetitiveadvantage• Financialloss• Wrongstrategicdecisionstaken

MITIGATION:

BenchmarkingexerciseandmarketsurveillanceareessentialbutmostimportantlyarethenewdevelopmentsofprojectstoincreaseRogers’competitiveness.

CONCERNED SECTORS:

TheGroup



3. INNOVATION RISK RISK AS AT JUNE 2016

Rogers is not leveraging innovation in its business model to achieve or sustain competitive advantage.

ROOT CAUSE:

ChangeincustomerbehaviourandbuyingpatternsaswellasthearrivalofnewinternationalplayersimpacttheGroup’scapacityandcapabilityofexploitingtheinnovationspace

COMMENTARY:

Thereisaneedtoinnovateandevolve,butitshouldbedoneinacautiousandsystematicway.Notinnovatingandnotevolvingisagreatersetbackandposesevenhigherrisks.

IMPACT:

• Erosionofcustomerbase• Financialloss• Lostopportunities• Reputationaldamage

MITIGATION:

Regularclientssurveysandinvestmentinnewsystem/technologiesaswellastheimplementationofaqualitymanagementsystem.

CONCERNED SECTORS:

• Aviation• Technology• RealEstate&Agribusiness• Corporate

4. LIQUIDITY RISK RISK AS AT JUNE 2016

Rogers’ Group is exposed to insufficient means of cash flow to meet its financial obligations.

ROOT CAUSE:

• Inexistence/non-adherencetothecreditvettingexercise.

• Delayinreceivingmoneyduetoeconomicrecessionandlatepaymentinterestnotbeingchargedhaveaccentuatedtheproblem.

COMMENTARY:

RegularreviewoftheGroupstrategicplanshouldenablebettercashflowplanning.Atthesametime,thiswillhelpusidentifyopportunities.

IMPACT:

• Inabilitytocontinueasagoingconcern• Financialloss• Reputationaldamage• Opportunityloss

MITIGATION:

Assessingcustomercreditworthinessthroughbankguarantees.Theapplicationofacreditvettingprocessbyacommittee,withfrequentchecksbeingperformedoncreditlimitsawardedtoclients.Capitalinjectionfromshareholders.

CONCERNED SECTORS:

TheGroup



5 . LEGAL AND REGULATORY COMPLIANCE RISK RISK AS AT JUNE 2016

Internal and external compliance procedures not being adhered to by relevant parties. This attitude exposes the Group to continuity interruptions.

ROOT CAUSE:

• Lackofenforcement/communicationofpoliciesandprocedures.

• Rigidsetofrules

COMMENTARY:

Thereisaneedfornon-financialreviewsandaudits.CompliancewithInternationalStandardsandregulatoryrequirementsofthedifferentjurisdictionsinwhichweoperate.Workcloselywiththeprocessowners.

IMPACT:

• Reputationaldamage• Litigationexposure• Finesandpenalties• Financiallosses

MITIGATION:

Ensurecompliancewithregulations,compliancemanualandsoundoperationalprocesses.LitigationregisterisinplaceandisbeingmonitoredandreportedatCorporatelevelandRMAC.

CONCERNED SECTORS:

TheGroup

Note:

Horizontal movement indicates no change in the risk gap

Upward vertical movement indicates an increase in the risk gap

Downward vertical movement indicates a decrease in the risk gap



Emerging Risks

“Change is the law of life. Those who look only to the past or present are certain to miss the future.”

John F. Kennedy

Anticipatingandforecastingrisksisbecomingmoredifficultandmorecomplexwithsuddenchangesintheenvironmentandglobalisation.AtRogers,webelievethatwemustalwaysprepareourselvesfortheunexpected.Werecognizecomplexrisksareincreasinglyinterconnected,withthepotentialtoaccelerateastheygrowandweconsiderthatitistimetoturntherisk‘telescope’around.Emergingrisksaredifficulttoquantifyandasaresultoflackofdata,theconsequencesandimplicationscanbeunclear.Throughtheupdatingoftheriskregisters,moreparticularlyintheriskidentificationphase,Managementdoesprovideinsightofpossibleemergingrisksaffectingtheirbusinessesandtheseareratedintermsofseverityandlikelihood.Amorecomprehensive‘watchlist’ofthoseemergingriskswillbedevelopedtoincludeasensitivityanalysis/’what-if’scenarios.Coreglobalemergingriskcategoriesaredepictedasfollows:

RISK CATEGORIES RISK DESCRIPTION

GEOPOLITICAL

• Adverseregulation

• Governancedeficiency

• Trade/tariffwar

COMMENTS:

Sectors to analyse global market trends, evaluate possible impacts and review key business drivers

and strategies.

An example could be the Brexit which might have an impact on the Mauritian economy and on

sectors such as Hotels, Aviation and Logistics due to the fact that

the UK represents one of our major trading partners (in terms

of export destination and tourism market, etc.).

SOCIETAL

• Socialinstability

• Terroristattack

• Armedconflict

ECONOMIC

• Fiscalcrisis

• Assetbubble

• Financialsystembreakdown

TECHNOLOGICAL

• Infrastructurefailure

• Transformationalinnovation

• Large-scalecyberattack

ENVIRONMENTAL

• Sustainedresourceshortage

• Naturalcatastrophe

• Diseaseoutbreak



Internal Control

Internalcontrolandriskmanagementarethebackboneofgoodcorporategovernance.TheBoardprovidesthevisionandsetsoutthestrategicdirectionoftheGroup.ItalsoprovideseffectiveleadershipandcontroloftheGroup,whilstmeetingtheappropriateinterestsofitsshareholdersandstakeholders.ItassumestheultimateresponsibilityfortheeffectivemanagementofrisksacrosstheGroup,determiningitsriskappetiteandtoleranceaswellasensuringthateachbusinessareaimplementsappropriateinternalcontrols.TheBoardexercisesthiscontrolbyeffectivelydelegatingitsriskmanagementandsystemsofassuranceregardingfinancialreportingandinternalcontrolstotheRMAC.

InlinewiththeMauritianCodeofCorporateGovernance,RogershassetupaRiskManagementandAuditCommitteein2002whosemainobjectivesaretoensuretheexistenceandefficiencyofasystemofinternalcontrolwhichreflectsthesizeoftheGroupaswellasitsdiversity.TheGroup’sriskmanagementsystemsaimatmanagingtheriskoffailureinthepursuitofbusinessobjectivesratherthantoeliminatethatrisk.Theriskmanagementsystems,however,cannotprovide100%assuranceagainstmaterialmisstatementorloss.

Internal Audit

TheinternalauditfunctioniscarriedoutbytheRisk&AuditDepartment,anindependentin-housebusinessunitoperatingwithinaframeworkalignedwiththevariouspoliciesinexistencewithintheGroup.Ourinternalauditplanispreparedusingarisk-basedapproach.Alltheelementsinourrisklandscapearetakenintoaccountwhilepreparingtheauditplanincludingchangesinriskprofilesandemergenceofnewrisks.

OUR RISK BASED AUDIT METHODOLOGYTESTING & ANALYSIS

SCOPE, ENGAGEMENT

& ACCEPTANCE

Risk analysis

Determine needs

Mutually agreed upon timeline

PLANNING

Identify new developments

Assess risks – Business Risk

Register

Develop approach

PRELIMINARY FIELDWORK

Understand internal controls

Identify and address issues

FIELDWORK

Update on controls and issues

Audit testing

REPORT ISSUANCE

Deliver findings

Issue opinion

Meetings with those charged of

Governance

Discuss the path forward

FOLLOW-UP

Issue Progress Implementation

Reports

Table findings / recommendations

to the RMAC

INDUSTRY-SPECIFIC EXPERIENCE AND WORK PROGRAMME

TECHNOLOGY USED THROUGHOUT

TheRiskandAuditDepartment’smainobjectiveistoprovideindependentandobjectiveassuranceastotheeffectivenessoftheriskmanagementapproachandofinternalcontrolswithintheGroup.Amidstthesebroadobjectives,thedepartmentalsoaimsatprovidingManagementwithreliableinformation,facilitateinteractionswiththemandprovideadvicewithaviewtomaintainingabalancebetweenrisksandcontrolsthroughouttheGroup.TheadequacyandrelevanceofinternalcontrolsissupportedbytheRogersGuidelines&PoliciesManual(RGPM).



TheBoardofDirectors,Managementandotherpersonnelhaveputinplaceprocessescommonlyknownasinternalcontrolstoprovidereasonableassuranceontheachievementoftheobjectivesrelatedtooperations,financialreportingandcompliancewithlawsandregulations.Internalauditdirectlyexaminesinternalcontrolsandprovidesassuranceinrespectoftheimplementation,operationandeffectivenessofriskmanagementandgovernance.GiventhediversityacrosstheGroup,internalcontrolisachievedmainlythroughtheapplicationofbestpracticeswhichtogetherconstitutetheRGPM;thesebestpracticesensurethatconsistentanduniformpoliciesandproceduresareappliedacrosstheGroup.Theinternalauditprocessisconstantlysubjecttochangesgiventheneedtokeeppacewithinternationaltrendsandstandards.AstudyconductedbyPricewaterhouseCoopersintheUnitedStatesidentifiessomefundamentalinternalauditfeaturesascontributingsignificantvaluetocompanies.Thestudyidentifieseightfoundationalattributesofinternalauditandissaidtobethebasisofprovidinganeffectiveinternalauditfunction.

COST EFFECTIVENESS

The risk-based approach methodology adopted by the department is regularly

reviewed as a means to keep up with the latest trends and innovations

in the internal audit profession.

PROCESS & TECHNOLOGY

The Risk and Audit Departmentis a business unit within Rogers.As a profit centre, it has its ownannual budget which is approved

by the Board of Directors.

INTERNAL AUDIT

The Group aims at aligning its risk appetite and risk exposurein terms of its risk objective,its current risk profile and itscurrent level of risk exposure.

BUSINESS ALIGNMENTThe Risk and Audit team is made up

of seven young, dynamic and high-calibre professionals, led by the

Head of Internal Audit and Risk Management.

PEOPLE & TALENT MODEL

SERVICE CULTUREHigh-quality audits are undertaken by

the department while taking the specific needs of each client into consideration. Our scope of work for each assignment is agreed with the relevant Management team prior to starting the audit. It usually comprises of a mixture

of areas identified based on our risk analysis and areas selected by Management where

they feel they require assistance in assessing or setting up internal controls.

Effective stakeholder management is focused on creating positive relationships with stakeholders by efficiently managing

their expectations and objectives. There is an interaction and synergy

between external and internal auditors.

STAKEHOLDER MANAGEMENT

Please refer to page 108 in the Risk Management section.

RISK FOCUS

The Department maintains a professional relationship with its clients and is continuously

trying to innovate and improve the quality of service.

QUALITY & INNOVATION



MONITORING PROGRESS

Thenumberofauditsperformedbythedepartmenthasincreasedfromyeartoyear,mainlyowingtotherapidexpansionoftheGroupandtheacquisitionofnewbusinesses.Duringtheforthcomingyear,greateremphasiswillbeplacedonfinancialservicesauditsandemergingrisksgiventheGroup’slevelofactivities.Thedepartmentcontinuouslyaimsatprovidingevenmorerecommendationsformoreefficiencyandproductivity,andtohelptheGroupasawholeachieveitsstrategicobjectives.

0

2000

4000

6000

8000

10000

13/14 14/15

Financial Year

15/16

Gro

up R

even

ue (

Rs m

)

RevenueN

o. o

f A

udits

No. of Audits

0

5

10

15

20

25

6,187

7,151

9,345

Financial Year

0

50

100

150

200

250

13/14 14/15 15/16M

emos

Total Memos

164

246

121

WearepleasedtoprovideafeedbackonhoweffectivewewereatachievingtheriskmanagementandinternalauditinitiativesthattheGroupsetlastyear.

Category Status

Risk appetite

Creating an organisation – wide risk-aware culture

Embedding risk management function within each sector

Occupational Health & Safety (OH&S)

Business continuity

Malpractice reporting procedures

Internal audit and risk management

Dealing with emerging risks and opportunities (refer to page 112 for more details)

Completed

Ongoing



FUTURE ORIENTATION

Webelievethatitisimportanttoconsiderfutureopportunities,prepareourselvesaccordinglysothatwecanseizethem.Asaresultofchangeshappeningintheregulatory,legislativeandcomplianceframeworks,thegrowingcomplexityofbusinesses,environmentalchangesandglobalisation,businessleadersareexpectedtothink‘bigger’.

TOMORROW

NOW

Future Orientation – our challenges:

-Embarkontheriskgovernancereforms(newcodeofcorporategovernance)

-Addnewrichnesstobusinessinsights

-Remainaproactiveandreliablebusinesspartner

-Developandmaintaintherequisiteskills

-Developtalentswithdeepbusinessexpertise

-Enhanceon-the-joblearninganddevelopment

-Alignourriskmanagementframeworkwithourlinesofdefence

-ProficientuseofdataanalyticsandIT

AtRogers,theInternalAuditandRiskManagementteamadherestothestandardsandnormsoftheprofession.WehavetakencognizanceofthenewCodeofCorporateGovernanceandweensurethatitselementswillbefactoredintotheapproach,methodologyandreportingdimensionsofourwork,applicableasfromthefinancialyear2017.

Withtheforeseeablefuture,theroleofinternalauditisevolvingfromanassuranceprovidertothatofaproactive,valuedbusinesspartnerwhoisinvolvedinpushingforwardthecompanies’strategicinitiatives.Inthisrole,wetreateachentityoftheGroupasour‘client’andweaimatdeliveringvalueineveryassignmentcompleted.WeaimataccompanyingSeniorManagementintermsofservicessuchasadvisoryandduediligence,whilststrictlypreservingourindependence.

Ourchallengeistomaintainthe‘energy’and‘agility’tocopewithcontinuousbusinesseschanges.TheHeadofInternalAuditandtheCorporateManagersarecommittedtothedevelopmentofthehumancapitaloftheGroup.ThroughtheACA/ACCAtrainingscheme,ourengagementisnotonlytoprovidetheGroupwithtop-notchaccountantsbutalsotodevelopthemanagers,executivesandleadersoftomorrow.AgreatemphasisislaidonthementoringandcoachingofourAuditAssistantsandweprovideallthesupporttheyneedfortheiracademicachievements.Aspartofthescheme,theAuditAssistantsaresecondedtotheFinanceandAccountsteamsandontheotherhand,theclients’portfoliooftheCorporateManagersisrotatedonaregularbasissoastogainmoreexperienceandknowledgeofthebusiness.Asmentionedearlier,riskswillevolvecontinuouslyandsomustwe.Weareconstantlytraininganddocumentingourselvessoastobeontopofourgameandtoprepareforthechallengescomingahead.

Otherchallengesfortheyearstocomewillbe:

• Managementofbigdataanduseofdataanalyticstools;

• Reviewingoftheauditdeliverymodel;

• Useoftechnologiestoenhance,automateandcontinuouslyimprovingourauditmethodology,processandriskmanagementprocesses;and

• Havingapoolofcertifiedinternalauditors.

WearesettingindustrystandardsandwehavereceivedthePWCCorporateReportingAwardin2015.Ouraimistoimprovefurther.Thisdemonstratestheseriousness,dedicationandprofessionalismwhichweattachtothiscriticalfunction.



Secretary’s CertificateInmycapacityasCompanySecretaryofRogersandCompanyLimited(the“Company”),Iherebyconfirmthat,tothebestofmyknowledgeandbelief,theCompanyhasfiledwiththeRegistrarofCompanies,forthefinancialyearended30June2016,allsuchreturnsasarerequiredoftheCompanyundertheCompaniesAct2001.

KareenNgCompanySecretary8September2016


Secretary’s Certificate

Other Statutory Disclosures(pursuant to Section 221 of the Companies Act 2001)

DIRECTORS

AlistofdirectorsofthesubsidiarycompaniesofRogersisgivenonpages119to125.

CONTRACT OF SIGNIFICANCE

Duringtheyearunderreview,therewasnocontractofsignificancetowhichRogers,oroneofitssubsidiaries,wasapartyandinwhichadirectorofRogerswasmateriallyinterestedeitherdirectlyorindirectly.

DIRECTORS’ SERVICE CONTRACTS

NoneofthedirectorsoftheCompanyandofthesubsidiarieshaveservicecontractsthatneedtobedisclosedunderSection221oftheCompaniesAct2001.

InRsmillion30 June 2016

30June2015

DIRECTORS’ REMUNERATION & BENEFITS

RemunerationandbenefitspaidbytheCompanyandsubsidiarycompaniesto:

DirectorsofRogers&CompanyLimited

Executive-fulltime 34.4 31.4

Non-executive 4.0 5.6

Directorsofsubsidiarycompanies

33executive-fulltime(29in2015) 147.8 100.2

81non-executive(79in2015) 1.8 7.2

THE GROUP THE COMPANY

InRsmillion30 June 2016

30June2015

30 June 2016

30June2015

DONATIONS

Donationsmadeduringtheyear

Political 0.7 7.0 0.7 7.0

CorporateSocialResponsibility

Statutory 6.7 4.0 - -

Voluntary 1.0 1.6 1.0 1.0

Numberofinstitutions 24 25 14 6

AUDITORS' REMUNERATION

Auditfeespaidto:

BDO & Co 10.1 8.5 0.7 0.7

Other firms 7.4 4.5 - -

Fees paid for other services provided by :

BDO & Co 2.5 1.3 0.2 -

Other firms 8.5 5.9 - 0.1

Fees paid for other services to BDO & Co are in respect taxation and consultancy services.


Other Statutory Disclosures

HOTELS

Berm

anL

aure

nce

Mar

ie

Bund

hun

Ziya

dA

bdoo

lRao

uf

Baud

otJ

ean

Mar

ieF

ranc

ois

Dod

dsR

yan

Mat

thew

Dup

ont

Dan

ielle

Chr

istin

e

Cha

rles

Jacq

ues

Jean

Fra

ncoi

s

Espi

talie

r-N

oëlM

.A.E

ric

Espi

talie

r-N

oël

M.H

.Phi

lippe

Eyna

udF

ranç

ois

Paul

Phi

lippe

Fayd

'her

bed

eM

auda

veA

lexa

ndre

Hug

nin

Guy

Hug

nin

De

Lopp

inot

Brig

itte

Koen

igJ

.H.V

.Ric

hard

Rog

er

Mam

etJ

erem

yA

lan

Men

teat

hJo

nath

anL

awre

nce

Mon

tocc

hio

Fran

çois

Thi

erry

Mot

etJ

osep

hJa

cque

s

Sted

man

Ric

hard

Soh

rab

HeritageGolfClubLtd X X A C X A X

HeritageEventsCompanyLtd R C A X

VLHLtd X X X X X X X X X A X

SevenColoursSpaLtd X X X X

VLHTrainingLtd X C X X

AdnarevLtd X C X X

VLHHoldingLtd X X X C X X X X X A X

Directors of Subsidiary Companies

C-Chairman X-Inofficeasdirector A-Appointedasdirector R-Resignedasdirector



LOGISTICS

Abr

aham

Ber

tran

dD

enis

Arr

owsm

ith

Sara

hC

arm

en

Avril

lon

Fran

cis

Vin

cent

Bath

field

PR

Syd

ney

Bhat

tM

ehul

Hite

shK

umar

Bosc

hJo

sep

Orio

l

Bund

hun

Ziya

dA

bdoo

lRao

uf

Cay

eux

Jose

phM

axim

eBr

uno

De

Com

arm

ond

Mar

ieM

auric

eA

ndré

Driv

erH

.W.A

ntho

ny

Elys

éeD

avid

Elys

éeL

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Jac

quel

in

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talie

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.E.G

ilber

t

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r-N

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pe

Gal

eaM

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Hen

riD

omin

ique

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udS

ylva

in

Gob

indr

amS

hah

Naw

az

Har

elA

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neL

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Hug

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Thie

rry

Hun

gH

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unD

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Kaba

Gill

es

Kone

-Dic

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-Lik

a

Lage

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Raym

ond

Lallc

hand

Jaw

ahar

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Mer

rick

Raym

ond

Mer

ven

Jean

Did

ier

Noë

lC.

J.R

aoul

Nun

koo

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endr

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h

Oliv

ier

Viv

ian

Piat

Jea

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enor

Rigo

uzzo

Luc

And

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mm

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l

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Lou

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iche

l

Rono

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Ris

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apoo

r

Sang

eele

eN

avee

n

Yue

Chi

Min

gTo

ny

CargoExpressMadagascarS.A.R.L. X X

F.O.MWarehousesLtd X X X X X

FreeportOperations(Mauritius)Ltd X X X X X

LogisticsSolutionsLtd X X C R X

VelogicLtd X X X C R X X

VelogicHoldingCompanyLtd X X C X R X X

P.A.P.O.L.C.S.Ltd. X X A C X X X

PapolHoldingLtd X X X X X

VelogicDepot&WarehouseLtd X X

RogersIDS(France)SA A R

RogersIDSMadagascarSA X X

RogersIDSLimitadaMozambique X X

VSR X R X A

VelogicIndiaPrivateLimited R A X X

VKLogisticsLtd X X X X X

RogersLogisticsInternationalLtd X X X

RogersLogisticsServicesCompanyLtd X X X X X

RogersShippingLtd R X X X

SouthernMarine&CoLtd X X

SukpakLtd X C X X X

TransworldInternationalLtd. X X

ThermoilCompanyLimited X X

SocieteDuPort X C X X X X X

VelogicHaulageServicesLtd X X X X X

VelogicGarageServicesLtd X X X X X X

MTLLogistics&DistributionCo.Ltd X X

AssociatedContainerServicesLimited X X X C X




AVIATION

Alm

eida

Jam

es

Art

urM

agal

haes

Bhoy

roo

Moh

amm

adY

ashi

nn

Brei

ner

Mar

cFr

anco

isS

teph

ane

Boui

cJo

seph

Gui

llaum

eKa

rl

Bund

hun

Ziya

dA

bdoo

lRao

uf

Cas

sam

Raf

icq

Col

lend

avel

loo

Aru

naL

ata

Vid

ia

Cor

roy

Mar

ieS

ybil

Ani

ck

De

Laub

ier

Tang

uyH

uber

tJo

achi

m

Espi

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r-N

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hilip

pe

Eyna

udF

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ois

Paul

Phi

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Fayd

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bed

eM

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ndre

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udP

aulF

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Gra

nger

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mm

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Har

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Mar

ieB

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and

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loo

Moh

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adF

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Haf

iz

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Ste

phan

eG

P

Lore

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oise

Jea

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Mar

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Mas

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Has

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Om

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eZa

karia

Pape

tM

athi

as

Pate

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n

Poon

isam

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edric

Ram

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n-

Oog

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Soo

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Dev

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Rob

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Scha

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imit

ri

Tcha

mo

Jere

mia

s

Tyac

kFr

eder

icG

erar

d

Yon

Ger

mai

nJo

seph

RogersAviationComoresS.A.R.L X

ArioSeychellesLtd X X

RogersAviationFranceS.A.R.L X

RogersAviationReunionSARL X X

RogersAviationKenyaLtd X X X

BeaviaKenyaLimited X X X X X

RogersAviationInternationalLtd(exArioLtd) X X X X A A

RogersAviationMadagascarS.A.R.L X X R X A

RogersAviationMayotteSARL X X

RogersAviationMozambiqueLDA. X X R A X

RogersAviation(Mauritius)Ltd X R C R A X

BlueConnectLtd X C X R R A

BlueAlizéLtd X R C X R A A

BSTravelManagementLtd R X X X A X A

BSREUNION(RunTourisme) X X

BSTravelManagementLimitada X X R A X

BlueskyMayotteSARL X

CroisièresAustralesLtée R X X R X A A

GSAfricaAirlineServicesLtd X X

MozambiqueAirportHandlingServicesLta(MAHS) X X X X

PlaisanceAirTransportServicesLtd. R C X A R A

RogersAviationSouthAfrica(Proprietary)Limited X X

RogersAviationHoldingCoLtd X X R C X X R A R A

TranscontinentS.A.R.L. X X

Travelia A

ResaplanetLtd A A A R A A A A

YachtManagementLtd R X X X R A A



PROPERTY

Ah

Chi

ngC

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Woo

Bhoy

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Moh

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Bund

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Man

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M.M

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tor

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M.E

.Gilb

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Gal

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Hen

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Har

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Pra

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Luc

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Hel

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Mam

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m

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ader

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Pill

ay

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Cor

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s

Won

gLe

ung

Pak

Vach

erB

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da

FPHLInfraLtd X

ForesitePropertyHoldingLtd X C X

AscenciaLimited X X X R C X X A R R X X A

MotorTradersLtd. A

RelianceFacilitiesLtd X R C X

RelianceSecurityServicesLtd X R C X

RelianceSystemsLtd X R X

TheGardensofBagatelleLtd X A X A

BagapropLtd R X X X R X A R




REALESTATE&AGRIBUSINESS

Ant

elm

eG

.Rob

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Baco

nPe

ter

Dou

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St

John

Bund

hun

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dA

.R.

Cai

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Cou

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dM

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Her

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Dav

ison

Bar

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De

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Des

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D'H

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Jacq

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ric

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.R.R

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Mas

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Trib

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Pau

l

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eorg

es

SouthWestTourismDevelopmentCompanyLimited R X X X X R

LeMarchéDuMoulinLtd X R R

BelOmbreFoundationForEmpowerment R C

CaseNoyaleLimitée X R X X X C X X X R X

CodeLimitée X

CompagnieSucrièreDeBelOmbreLimited X R X X X C X X X R X

LesVillasDeBelOmbreLtée X R A X R X X R R X

VillasValricheResortLtd R R X A R A R R R A



FINANCIALSERVICES

Bhoy

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Moh

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nn

Boul

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abric

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is

Bund

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Geo

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Que

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n

Rand

era

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Ism

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shle

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oom

ar

Shah

Sha

rmil

Dha

nraj

Ujo

odha

Dha

nun

AcornInternationalLtd R R A A A R X

CityExecutivesLtd R R A A A R X

DenningLtd X X

KBFSNomineeLtd R R A A A R A

KrossBorderAccountingServicesLtd A A A

KrossBorderBusinessServicesLtd A A A

KrossBorderCorporateServicesLtd X X A R C X X X

KrossBorderCorporateServices(Singapore)PteLimited R R R A A X A

KrossBorderSpecialistServicesLtd R R X A A

KrossBorderInsuranceServicesLtd R X A A R A

KrossBorderFinancialServicesLtd X X R A A A A

KrossBorderHoldingsLtd R R A A A R X

RogersAssetManagementLtd X A A C R A

RogersCapitalLtd X X X X C X

RogersWealthManagementLtd X X

RogersTreasuryServicesLtd A A

RiverCourtAdministratorsLimited A A A

RiverCourtNomineesLimited A A A

RiverCourtTrusteesLimited A A A



TECHNOLOGY

And

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ary

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Dep

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Mor

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Serg

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enri

René

Nun

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Nay

endr

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Ruhe

eA

shle

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oom

ar

AXACustomerServicesLtd R X X C X X

EIS-OutsourcingLtd X C X

EnterpriseInformationSolutionsLtd A X R A C A X X



OTHERINVESTMENTS

Bhoy

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Moh

amm

adY

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nn

Chu

mm

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Col

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loo,

Aru

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D'H

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rsM

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Jos

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Bern

ard

D'H

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rsA

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De

Com

arm

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Loui

sM

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Mau

rice

And

re

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talie

r-N

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ecto

r

Espi

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r-N

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pe

Gun

ness

Lill

adhu

r

Kanh

ama

Den

ise

Do

N.C

orne

lio

Koen

igJ

.H.V

.Ric

hard

Lecl

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J.M

.Ren

é

Mam

etJ

ean

Even

orD

amie

n

Mar

tins

Edm

ilson

De

Jesu

s

Roge

rsF

ranc

ois

Mic

hel

Wila

inJ

ean-

Luc

Vin

cent

Mar

ie

RogersFoundationLtd X A C X A X

MauritianCoal&AlliedServicesCo.Ltd X X X X X C

FleetInvestmentSupplyandHusbandryLtd X

RogersCorporateServicesLtd X

JacotetBayLimited X X X X X


Financial Performance

Energy drives performance.

NOTES CAPITAL STRUCTURE

22 Sharecapitalandreserves

23 Non-controllinginterests

24 Changesinownershipinterestsinsubsidiariesthatdonotresultinalossofcontrol

25 Dividends

LIABILITIES

26 Borrowings

27 Deferredtaxliabilities

28 Retirementbenefitobligations

29 Tradeandotherpayables

30 Provisions

31 Amountspayabletogroupcompanies

CASH MANAGEMENT

32 CashandCashequivalents

33 Cashgeneratedfrom(absordedby)operations

34 Acquisitionofsubsidiaries

UNRECOGNISED ITEMS

35 Commitments

36 Contingentliabilities

37 Eventsafterthereportingdate

OTHERS

38 Ultimateholdingentity

39 Relatedpartiestransactions

40 Businesssegments

41 Financialassets/liabilitiesbycategory

42 FinancialSummary

NOTES BASIS OF PREPARATION

1 Basisofpreparation

Principlesofconsolidation

Impairmentofnon-financialassets

Foreigncurrencytranslation

Non-currentassetsclassifiedasheldforsale

Comparatives

Significantaccountingjudgementsandestimates

2 FinancialRiskManagement

RESULTS FOR THE YEAR

3 Revenue

4 Profitfromoperationsbeforefinancecosts

5 Financecosts

6 Exceptionalitems

7 Taxation

8 Earningspershare

9 OtherComprehensiveIncome

ASSETS

10 Property,plantandequipment

11 Investmentproperties

12 Intangibleassets

13 Investmentinsubsidiarycompanies

14 Investmentinjointlycontrolledentitiesandassociatedcompanies

15 Investmentinfinancialassets

16 Biologicalassets

17 Non-currentreceivable

18 Deferredexpenditure

19 Inventories

20 Tradeandotherreceivables

21 Amountsreceivablefromgroupcompanies

FINANCIAL PERFORMANCE – CONTENTS

Pages FINANCIAL REPORT

130 ChiefFinanceandInvestmentExecutiveReport

132 Directors'Report

133 IndependentAuditors'Report

FINANCIAL STATEMENTS

136 StatementsofProfitorLoss

137 StatementsofProfitorLossandOtherComprehensiveIncome

138 StatementsofFinancialPosition

139 StatementsofChangesinEquity

140 StatementsofCashFlows


CHIEFFINANCEANDINVESTMENTEXECUTIVE’SREPORT

“The Group maintained its strategic investment momentum towards sustainable growth in shareholder value.”

Overview

Rogers delivered satisfactory results for the financial year 2016. The Group maintained its strategic investment momentum towards sustainable growth in shareholder value. In that respect, acquisitions were carried out in the Financial Services, Logistics and Property sectors namely :• the acquisition of 100% holding in River Court Administrators Ltd,• in two Kenyan-based entities, namely in Gencargo Services Ltd and 80% holding in Gencargo (Transport) Ltd,• an additional 34.9% stake in Bagaprop Ltd, a 100% stake in Gardens of Bagatelle Ltd, and a 25% stake in Mall of

Mauritius at Bagatelle Ltd.

Total assets of the Group grew by 30% to reach Rs29.5bn and financial ratios were within set targets.

This year’s presentation of the financial statements of the Group has been reworked to provide greater clarity and explanation in the notes to the financial statements. More specifically, accounting policy notes have been adjoined to the relevant accounting items.

Financial Performance

During the year 2016, total revenue increased by 14%. All sectors witnessed increases except for Real Estate and Agribusiness where a one-off sale of land in 2015 boosted revenue in that sector. Profit from the direct operations of the Group excluding the results from listed associates and Real Estate and Agribusiness sector improved by 30%. Associate earnings from New Mauritius Hotels were impacted by non-recurring rebranding and reorganisation costs. The drop was also compounded by the setback of the property development currently undertaken at Floreal Commercial Centre. Profit for the year ended 30 June 2016 was Rs890m, a drop of 15% against last year’s earnings.

Group EBITDA for the year increased by 7% led by the Property sector and the consolidation of Bagaprop Ltd as a subsidiary company. Excluding results from associates and fair value gains, EBITDA from directly-managed operations increased by 38% led to a large extent by Hotels, Logistics and the Property sectors.

Sector Performance

REVENUE EBITDA* PAT*2016 2015 2016 2015 2016 2015

12months 12months 12months 12months 12months 12monthsAviation 551 540 47 73 16 42FinancialServices 266 145 154 132 131 117Hotels 2,040 1,860 311 343 120 172Logistics 3,125 3,002 253 193 100 76Property 1,164 508 952 666 594 536RealEstate&Agribusiness 681 1,076 (42) 271 (85) 156Technology 343 262 47 35 27 17CorporateOffice 257 165 (21) (95) (32) (104)CorporateTreasury - - 81 46 (84) (39)GroupElimination (260) (407) - - - -Total 8,167 7,151 1,782 1,664 787 973

* excluding exceptional items

BUNDHUN, Ziyad

ChiefFinanceandInvestmentExecutiveExecutiveDirectorsince2012


Chief Finance and Investment Executive’s Report

Cash Generation and Utilisation

Cash generated from operation increased by 26% to Rs1.3bn. The Group pursued its planned investment strategies and Rs2.6bn cash were applied as follows :• Rs1.7bn towards the Property sector for the acquisition of 34.9% of Bagaprop Ltd, 100% of Gardens of Bagatelle Ltd and the extension of two

commercial centres, namely Bagatelle and Phoenix Commercial Centre• Rs169m for the acquisition of a logistic company in Kenya• Rs55m for the acquisition of a global business company• Rs565m for ordinary and preference shares of New Mauritius Hotels Ltd• Renovation of Veranda Pointe aux Biches hotel at a cost of Rs80m

The investment programme was financed by capital raising comprising of equity and debentures for Rs1.1bn undertaken by Ascencia Ltd. and bank borrowings.

The cash and cash equivalents remain at a stable level of Rs600m.

Financial Risk Management

Risk factors such as equity market, foreign currency exchange rates, interest rates and debt prices will subsist. The Group embarked on a new approach to risk management, whereby risk prioritising and risk mitigation will prevail. Currency exchange rates remain the most important risk element. At 30 June 2016 net exposure stands at Rs212m, with the impact of adverse currency conversion in some sectors mitigated by same denominating currency loans. Foreign exchange gains of Rs71m were realised during the year on the back of prudent forward currency transactions. Net trade receivables increased from Rs1.5bn to Rs1.9bn with the acquisition of new subsidiaries in a context of highly competitive market. The Group closely monitors policies in place for credit facilities and credit assessment.

Group Treasury

From a debt management perspective, the Group’s debt increased from Rs4.3bn to Rs8.8bn. This increase arises principally through the first–time consolidation of Bagaprop Ltd. and Gardens of Bagatelle Ltd. which together brought a debt of Rs 2.3bn upon consolidation. Further, the Group engaged new bank borrowings of Rs 3.7bn in 2016 with Rs 1.5bn being repaid in that year. This has had the impact of a net current liability position of Rs 0.9bn at 30 June 2016. The issue is being addressed as part of debt restructuring options currently being considered. As a result, the debt to equity ratio increased from 0.29 to 0.54. This year’s Group interest cover is 2.68 compared to 4.76 in the previous year, and has been impacted by the one-off non-operational charges of the associated companies. The Corporate office, for its part, has taken advantage of market opportunities towards lowering its effective cost of debt from 6.48% last year to 5.93% for this financial year.

Enhancing Shareholder Returns

Group profit attributable to shareholders for the year ended 30 June 2016 amounted to Rs405m (2015 : Rs544m). Earnings per share was Rs1.61 (2015 : Rs2.16) yielding to a Price Earnings Ratio of 17.42x (2015 : 14.03x).

The NAV per share improved by 1.6% to Rs37.60, with the discount to NAV per share increasing from 18% to 26%.

Over the year ended 30 June 2016, our share price went down by 7% whilst the all-share index of the Stock Exchange of Mauritius, SEMDEX, fell by 11%.

Cash dividend for the year improved by 5% to Rs0.88 (2015 : Rs0.84) which represents a dividend yield of 3.1%.

Outlook for Financial Year 2017

The Group completed its four year strategic plan exercise and is well set for its expansion plan. Short term plans will entail allocation of resources to the 4 served markets. In the context of the prevailing favourable financial market conditions, the Group will explore its capital and debt restructuring options as a priority.

In closing, I wish to thank my Finance team colleagues at head-office and the sectors for their dedication, continuous support and commitment in achieving this year’s objectives.

Interest Cover*2016 2.682015 4.76

Debt-to-Equity2016 0.542015 0.29Return on Closing Equity*

Share Price2016 Rs 28.002015 Rs 30.30

Price/Earnings Ratio

Dividend Yield2016 3.1%2015 2.8%

Earnings Per Share*

NAV per Share

2015

2016 1.35

1.86

2015

2016 37.6037.00

2015

2016 17.414.0

*Excludingexceptionalitems

3.6%

2016

5.0%

2015


DIRECTORS’REPORT

FINANCIAL STATEMENTS

The Directors of Rogers are responsible for the integrity of the audited financial statements of the Group and the Company and the objectivity of the other information presented in these statements.

The Board confirms that, in preparing the audited financial statements, it has:

(i) selected suitable accounting policies and applied them consistently;

(ii) made judgements and estimates that are reasonable and prudent;

(iii) stated whether applicable accounting standards have been followed, subject to any material departures explained in the financial statements;

(iv) kept proper accounting records which disclose with reasonable accuracy at any time the financial position of the Company;

(v) safeguarded the assets of the Company by maintaining internal accounting and administrative control systems and procedures; and

(vi) taken reasonable steps for the prevention and detection of fraud and other irregularities.

GOING CONCERN STATEMENT

On the basis of current projections, we are confident that the Group and the Company have adequate resources to continue operating for the foreseeable future and consider that it is appropriate that the going concern basis in preparing the financial statements be adopted.

INTERNAL CONTROL AND RISK MANAGEMENT

The Board is responsible for the system of Internal Control and Risk Management for the Company and its subsidiaries. The Group is committed to continuously maintain a sound system of risk management and adequate control procedures with a view to safeguarding the assets of the Group. The Board believes that the Group’s systems of internal control and risk management provide reasonable assurance that control and risk issues are identified, reported on and dealt with appropriately.

DONATIONS

For details on political and charitable donations made by the Company, please refer to page 118.

GOVERNANCE

The Board strives to apply principles of good governance within the Company and its subsidiaries.

AUDITED FINANCIAL STATEMENTS

The audited financial statements of the Group and the Company which appear on pages 135 to 217 were approved by the Board on 08 September 2016 and are signed on their behalf by:

Jean-Pierre Montocchio Philippe Espitalier-Noël

Chairman Director and CEO


Directors’ Report

INDEPENDENTAUDITORS’REPORT

This report is made solely to the members of Rogers and Company Limited (the “Company”), as a body, in accordance with Section 205 of the Companies Act 2001. Our audit work has been undertaken so that we might state to the Company’s members those matters we are required to state to them in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Report on the Financial Statements

We have audited the financial statements of Rogers and Company Limited and its subsidiaries (the “Group”) and the Company’s separate financial statements on pages 135 to 217 which comprise the statements of financial position at June 30, 2016, and statements of profit or loss, statements of profit or loss and other comprehensive income, statements of changes in equity and statements of cash flows for the year then ended, and a summary of significant accounting policies and other explanatory notes.

Directors’ Responsibility for the Financial Statements

The directors are responsible for the preparation and fair presentation of these financial statements in accordance with International Financial Reporting Standards and in compliance with the requirements of the Companies Act 2001, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditors’ Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors’ judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditors consider internal control relevant to the Company’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our opinion, the financial statements on pages 135 to 217 give a true and fair view of the financial position of the Group and of the Company at June 30, 2016, and their financial performance and their cash flows for the year then ended in accordance with International Financial Reporting Standards and comply with the Companies Act 2001.


Independent Auditors’ Report

INDEPENDENTAUDITORS’REPORT(CONTD)

Report on Other Legal and Regulatory Requirements

Companies Act 2001

We have no relationship with, or interests in, the Company or any of its subsidiaries, other than in our capacity as auditors, business advisers and dealings in the ordinary course of business.

We have obtained all information and explanations we have required.

In our opinion, proper accounting records have been kept by the Company as far as it appears from our examination of those records.

Financial Reporting Act 2004

The Directors are responsible for preparing the corporate governance report. Our responsibility is to report on the extent of compliance with the Code of Corporate Governance as disclosed in the annual report and on whether the disclosure is consistent with the requirements of the Code.

In our opinion, the disclosure in the annual report is consistent with the requirements of the Code.

BDO&Co. AmeenahRamdinFCCA,ACA

Chartered Accountants Licensed by FRC

Port Louis,

Mauritius

08 September 2016


FINANCIALSTATEMENTS

ThesefinancialstatementshavebeenapprovedforissuebytheBoardofDirectorson08September2016.

Jean-Pierre Montocchio Philippe Espitalier-Noël

Chairman Director&CEO


Financial Statements

STATEMENTSOFPROFITORLOSSYear ended 30 June 2016

GROUP COMPANY

InRsmillion NOTES 2016 2015 2016 2015

Revenue 3 8,167.4 7,151.0 597.5 392.6

Profitfromoperationsbeforefinancecosts 4 1,033.6 577.8 294.0 65.0

Financecosts 5 (541.4) (287.4) (173.6) (93.1)

Fairvaluegainoninvestmentproperties 11 385.2 170.2 - -

Shareofresultsofjointlycontrolledentities 14 (49.7) 383.3 - -

Shareofresultsofassociatedcompanies 14 88.0 238.0 - -

Profit (loss) before exceptional items 915.7 1,081.9 120.4 (28.1)

Exceptionalitems

Excessoffairvalueofnetassetsoverconsiderationprice 6 100.5 - - -

(Loss)profitondisposaloffinancialassets 6 (3.5) 100.0 (3.4) 70.1

Profitonsaleofproperties 6 6.2 5.8 - -

Reorganisationcosts 6 - (29.4) - -

Profit before taxation 1,018.9 1,158.3 117.0 42.0

Taxation 7 (129.2) (108.8) - -

Profit for the year 889.7 1,049.5 117.0 42.0

Attributableto

Ownersoftheparent 405.1 544.1

Non-controllinginterests 484.6 505.4

Profit for the year 889.7 1,049.5

Earnings per share 8 Rs1.61 Rs2.16

Theexplanatorynotesonpages141to217formanintegralpartofthesefinancialstatements.Auditors’reportonpages133and134.


PRIMARY STATEMENTS


STATEMENTSOFPROFITORLOSSANDOTHERCOMPREHENSIVEINCOMEYear ended 30 June 2016

GROUP COMPANY


Profit for the year 889.7 1,049.5 117.0 42.0

Othercomprehensiveincome

Remeasurementsofpostemploymentbenefitobligations 9 6.2 3.2 (21.8) 1.5

Shareofothercomprehensiveincomeofassociatedcompanies 9 (21.1) 21.8 - -

Items that will not be reclassified to profit or loss (14.9) 25.0 (21.8) 1.5

Exchangedifferencesontranslatingforeignentities 9 (18.5) 87.7 - -

Gains(losses)arisingonfairvalueofavailable-for-salefinancialassets 9 50.7 (72.4) 51.4 (71.9)

Shareofothercomprehensiveincomeofjointlycontrolledentities 9 (0.6) 3.7 - -

Shareofothercomprehensiveincomeofassociatedcompanies 9 (11.8) (66.0) - -

Items that may be reclassified subsequently to profit or loss 19.8 (47.0) 51.4 (71.9)

Other comprehensive income for the year 4.9 (22.0) 29.6 (70.4)

Total comprehensive income for the year 894.6 1,027.5 146.6 (28.4)

Attributableto

Ownersoftheparent 397.4 446.0

Non-controllinginterests 497.2 581.5

Total comprehensive income for the year 894.6 1,027.5


STATEMENTSOFFINANCIALPOSITION30 June 2016

GROUP COMPANY


ASSETSNoncurrentassetsProperty,plantandequipment 10 7,771.6 7,550.2 22.6 21.0Investmentproperties 11 10,617.9 4,051.1 - -Intangibleassets 12 796.8 744.4 5.2 7.1Investmentinsubsidiarycompanies 13 - - 3,308.3 3,253.5Investmentinjointlycontrolledentities 14 135.5 1,818.4 33.2 101.8Investmentinassociatedcompanies 14 4,817.4 4,352.1 3,131.2 2,838.0Investmentinfinancialassets 15 627.0 242.6 613.2 228.7Bearerbiologicalassets 16 18.8 18.6 - -Non-currentreceivable 17 84.7 137.5 1,015.3 1,086.8Deferredexpenditure 18 150.2 97.0 - -Total non current assets 25,019.9 19,011.9 8,129.0 7,536.9CurrentassetsConsumablebiologicalassets 16 90.7 96.5 - -Inventories 19 288.9 212.0 - -Tradeandotherreceivables 20 3,106.4 2,297.2 123.1 16.1Amountsreceivablefromgroupcompanies 21 - - 395.9 636.4Investmentinfinancialassets 15 - 200.0 - 200.0Bankbalancesandcash 32 944.1 817.0 18.1 27.3Total current assets 4,430.1 3,622.7 537.1 879.8Total assets 29,450.0 22,634.6 8,666.1 8,416.7EQUITY AND LIABILITIESCapitalandreservesSharecapital 22 1,260.2 1,260.2 1,260.2 1,260.2Reserves 8,216.9 8,066.7 3,945.3 4,020.5Equityattributabletoownersoftheparent 9,477.1 9,326.9 5,205.5 5,280.7Non-controllinginterests 23 6,942.8 5,723.0 - -Total equity 16,419.9 15,049.9 5,205.5 5,280.7NoncurrentliabilitiesBorrowings 26 7,208.1 3,482.9 1,868.9 1,889.4Deferredtaxliabilities 27 368.9 240.2 - -Retirementbenefitobligations 28 180.9 166.7 25.1 4.6Total non current liabilities 7,757.9 3,889.8 1,894.0 1,894.0CurrentliabilitiesBorrowings 26 1,594.6 836.2 1,073.6 627.5Tradeandotherpayables 29 3,496.9 2,635.1 237.7 154.5Amountspayabletogroupcompanies 31 - - 114.2 288.4Incometaxliabilities 32.2 44.6 - -Provisions 30 7.4 42.9 - 35.5Dividendspayable 25 141.1 136.1 141.1 136.1Total current liabilities 5,272.2 3,694.9 1,566.6 1,242.0Total liabilities 13,030.1 7,584.7 3,460.6 3,136.0Total equity and liabilities 29,450.0 22,634.6 8,666.1 8,416.7


PRIMARY STATEMENTS


STATEMENTSOFCHANGESINEQUITYYear ended 30 June 2016

GROUP

NOTESSharecapital

Capitalreserves

Revaluationreserves

Translationreserves

Retainedearnings

Attributabletoowners

oftheparent

Non-ControllingInterests TotalInRsmillion

At1July2014 252.0 62.5 2,778.2 (24.6) 5,947.9 9,016.0 5,345.5 14,361.5

Issueofbonusshares 1,008.2 (21.4) - - (986.8) - - -

Dividends 25 - - - - (211.7) (211.7) (111.9) (323.6)

Profitfortheyear - - - - 544.1 544.1 505.4 1,049.5

Othercomprehensiveincomefortheyear 9 - - 62.4 (73.3) (87.2) (98.1) 76.1 (22.0)

Movementinreserves - 104.3 - - - 104.3 - 104.3

Transfers - - (29.7) - 29.7 - - -Changesinownershipinterestsinsubsidiariesthatdonotresultinalossofcontrol

- - - - (6.5) (6.5) 10.1 3.6

Acquisitionanddeconsolidationofgroupcompanies

-(0.7) 5.6 0.3 (26.4) (21.2) (102.2) (123.4)

At 30 June 2015 1,260.2 144.7 2,816.5 (97.6) 5,203.1 9,326.9 5,723.0 15,049.9

At1July2015 1,260.2 144.7 2,816.5 (97.6) 5,203.1 9,326.9 5,723.0 15,049.9

Effectonissueofshares - - - - - - 548.8 548.8

Dividends 25 - - - - (221.8) (221.8) (193.9) (415.7)

Profitfortheyear - - - - 405.1 405.1 484.6 889.7

Othercomprehensiveincomefortheyear 9 - - 51.2 29.7 (88.6) (7.7) 12.6 4.9

Transfers - 64.6 (24.8) - (39.8) - - -Changesinownershipinterestsinsubsidiariesthatdonotresultinalossofcontrol

- - - - 6.3 6.3 10.9 17.2

Acquisitionanddeconsolidationofgroupcompanies

-1.5 (6.3) 1.7 (28.6) (31.7) 356.8 325.1

At 30 June 2016 1,260.2 210.8 2,836.6 (66.2) 5,235.7 9,477.1 6,942.8 16,419.9

COMPANY

InRsmillion NOTESSharecapital

Capitalreserves

Revaluationreserves

Retainedearnings Total

At1July2014 252.0 21.4 197.8 5,049.6 5,520.8Issueofbonusshares 1,008.2 (21.4) - (986.8) -Dividends 25 - - - (211.7) (211.7)

Profitfortheyear - - - 42.0 42.0

Othercomprehensiveincomefortheyear 9 - - (71.9) 1.5 (70.4)At 30 June 2015 1,260.2 - 125.9 3,894.6 5,280.7

At1July2015 1,260.2 - 125.9 3,894.6 5,280.7

Dividends 25 - - - (221.8) (221.8)

Profitfortheyear - - - 117.0 117.0

Othercomprehensiveincomefortheyear 9 - - 51.4 (21.8) 29.6

Transfers - - (15.3) 15.3 -

At 30 June 2016 1,260.2 - 162.0 3,783.3 5,205.5



STATEMENTSOFCASHFLOWSYear ended 30 June 2016

GROUP COMPANY


OPERATING ACTIVITIES

Cashgeneratedfrom(absorbedby)operations 33 1,256.4 995.7 (255.0) (95.9)

Incometaxpaid (40.7) (82.1) - -

Net cash flow from (used in) operating activities 1,215.7 913.6 (255.0) (95.9)

INVESTING ACTIVITIES

Dividendsreceived 129.2 96.1 213.7 185.3

Purchaseoffinancialassets (957.0) (68.1) (618.0) (6.2)

Proceedsfromsaleoffinancialassets 74.2 62.2 69.5 30.4

Interestreceived 21.8 14.6 81.6 35.1

Differenceinexchange 4.8 3.9 - -

Purchaseofinvestmentpropertyandproperty,plantandequipment (835.4) (280.2) (13.4) (12.1)

Proceedsfromsaleofinvestmentpropertyandproperty,plantandequipment 36.5 134.9 1.2 0.1

Purchaseofintangibleassets (8.8) (62.2) (0.2) (0.3)

Loansgranted (114.9) (245.8) (527.2) (1,531.4)

Loansrecovered 273.8 117.2 912.7 247.3

Acquisitionofsubsidiariesnetofcash 34 (1,497.8) (412.3) - -

Acquisitionrelatedcosts (52.6) - - -

Disposalofsubsidiariesnetofcash - 47.3 - -

Net cash flow (used in) from investing activities (2,926.2) (592.4) 119.9 (1,051.8)

FINANCING ACTIVITIES

Proceedsfromborrowings 3,729.9 2,288.7 1,131.8 1,894.7

Repaymentofborrowings (1,546.1) (1,756.0) (600.3) (415.3)

Interestpaid (558.6) (287.3) (150.2) (65.8)

DividendspaidtoshareholdersofRogersandCompanyLimited (216.8) (201.6) (216.8) (201.6)

Dividendspaidtooutsideshareholdersofsubsidiarycompanies (145.9) (48.4) - -

Proceeedsfromissueofsharesbysubsidiarycompaniestonon-controllinginterests 486.6 11.5 - -

Net cash flow from financing activities 1,749.1 6.9 164.5 1,212.0

Netincreaseincashandcashequivalents 38.6 328.1 29.4 64.3

Cashandcashequivalents-opening 590.6 274.3 (29.4) (93.7)

Effectsofexchangerateoncashandcashequivalents (12.7) (11.8) - -

Cash and cash equivalents - closing 32 616.5 590.6 - (29.4)


PRIMARY STATEMENTS


EXPLANATORY NOTES30 June 2016

1. PRINCIPAL ACCOUNTING POLICIES

Theprincipalaccountingpoliciesadoptedareasfollows:

(a) Basis of preparation

The financial statements comply with the Companies Act 2001 and have been prepared in accordance with International Financial ReportingStandards (IFRS). These policies have been consistently applied to all the periods presented, unless otherwise stated and where necessary,comparativefigureshavebeenamended.Thefinancialstatementsincludetheconsolidatedfinancialstatementsoftheparentcompanyanditssubsidiarycompanies(TheGroup)andtheseparatefinancialstatementsoftheparentcompany(TheCompany).ThefinancialstatementsarepresentedinMauritianRupeesandallvaluesareroundedtonearestmillion(Rsmillion),exceptwhenotherwiseindicated.

Thefinancialstatementsarepreparedunderthehistoricalcostconventionexceptthat:

•landandbuildingsarecarriedatrevaluedamounts

•investmentpropertiesarestatedatfairvalue

•investmentsheld-for-tradingandavailable-for-salefinancialassetsarestatedatfairvalue

•held-to-maturityfinancialassetsarecarriedatamortisedcost

•consumablebiologicalassetsarevaluedatfairvalue

Note1setsouttheGroup’saccountingpoliciesthatrelatetothefinancialstatementsasawhole.Whereanaccountingpolicyisspecifictoonenotethepolicyisdescribedinthenotetowhichitrelates.

Standards, Amendments to published standards and interpretations effective in the reporting period

Therearenostandards,amendmentstopublishedstandardsandinterpretationseffectiveforthefirsttimeinthereportingperiod.

Standards, Amendments to published Standards and Interpretations issued but not yet effective

Certainstandards,amendmentstopublishedstandardsandinterpretationsissuedareeffectiveforaccountingperiodsbeginningonorafter1July2016,butwhichtheGrouphasnotearlyadopted.

Atthereportingdateofthesefinancialstatements,thefollowingwereinissuebutnotyeteffective:

IFRS9FinancialInstruments

IFRS14RegulatoryDeferralAccounts

AccountingforAcquisitionsofInterestsinJointOperations(AmendmentstoIFRS11)

Rogers - ANNUAL REPORT 2016 141Rogers - ANNUAL REPORT 2016 141

BASIS OF PREPARATION


1. PRINCIPAL ACCOUNTING POLICIES (CONT’D)

(a) Basis of preparation (cont’d)

Standards, Amendments to published Standards and Interpretations issued but not yet effective (cont’d)

ClarificationofAcceptableMethodsofDepreciationandAmortisation(AmendmentstoIAS16andIAS38)

IFRS15RevenuefromContractwithCustomers

Agriculture:BearerPlants(AmendmentstoIAS16andIAS41)

EquityMethodinSeparateFinancialStatements(AmendmentstoIAS27)

SaleorContributionofAssetsbetweenanInvestoranditsAssociateorJointVenture(AmendmentstoIFRS10andIAS28)

AnnualImprovementstoIFRSs2012-2014Cycle

InvestmentEntities:ApplyingtheConsolidationException(AmendmentstoIFRS10,IFRS12andIAS28)

DisclosureInitiative(AmendmentstoIAS1)

IFRS16Leases

RecognitionofDeferredTaxAssetsforUnrealisedLosses(AmendmentstoIAS12)

AmendmentstoIAS7StatementofCashFlows

ClarificationstoIFRS15RevenuefromContractswithCustomers

ClassificationandMeasurementofShare-basedPaymentTransactions(AmendmentstoIFRS2)

Whererelevant,theGroupisstillevaluatingtheeffectoftheseStandards,amendmentstopublishedStandardsandInterpretationsissuedbutnotyeteffective,onthepresentationofitsfinancialstatements.

IFRS9isofparticularimportancetotheGroup.InJuly2014,theIASBissuedIFRS9‘FinancialInstruments’,whichisthecomprehensivestandardtoreplaceIAS39‘FinancialInstruments:RecognitionandMeasurement’,andincludesrequirementsforclassificationandmeasurementoffinancialassetsandliabilities,impairmentoffinancialassetsandhedgeaccounting.

Classification and measurement

Theclassificationandmeasurementoffinancialassetswilldependonhowthesearemanaged(theentity’sbusinessmodel)andtheircontractualcash flow characteristics. These factors determine whether the financial assets are measured at amortised cost, fair value through othercomprehensiveincome(‘FVOCI’)orfairvaluethroughprofitorloss(‘FVPL’).Inmanyinstances,theclassificationandmeasurementoutcomeswillbesimilartoIAS39,althoughdifferenceswillarise.Forexample,underIFRS9,embeddedderivativesarenotseparatedfromhostfinancialassetsandequitysecuritiesaremeasuredatFVPLor,inlimitedcircumstances,atFVOCI.ThecombinedeffectoftheapplicationofthebusinessmodelandthecontractualcashflowcharacteristicstestsmayresultinsomedifferencesinthepopulationoffinancialassetsmeasuredatamortisedcostorfairvaluecomparedwithIAS39.Theclassificationoffinancialliabilitiesisessentiallyunchanged.Forcertainliabilitiesmeasuredatfairvalue,gainsorlossesrelatingtochangesintheentity’sowncreditriskaretobeincludedinothercomprehensiveincome.




(a) Basis of preparation (cont’d)

Standards, Amendments to published Standards and Interpretations issued but not yet effective (cont’d)

Impairment

TheimpairmentrequirementsapplytofinancialassetsmeasuredatamortisedcostandFVOCI,andleasereceivablesandcertainloancommitmentsandfinancialguaranteecontracts.Atinitialrecognition,allowance(orprovisioninthecaseofcommitmentsandguarantees)isrequiredforexpectedcredit losses(‘ECL’)resultingfromdefaulteventsthatarepossiblewithinthenext12months(’12-monthECL’). Intheeventofasignificantincreaseincreditrisk,allowance(orprovision)isrequiredforECLresultingfromallpossibledefaulteventsovertheexpectedlifeofthefinancialinstrument(‘lifetimeECL’).Financialassetswhere12-monthECLisrecognisedareconsideredtobe‘stage1’;financialassetswhichareconsideredtohaveexperiencedasignificantincreaseincreditriskarein‘stage2’;andfinancialassetsforwhichthereisobjectiveevidenceofimpairmentsoareconsideredtobeindefaultorotherwisecreditimpairedarein‘stage3’.

Theassessmentofwhethercreditriskhasincreasedsignificantlysinceinitialrecognitionisperformedforeachreportingperiodbyconsideringthechangeintheriskofdefaultoccurringovertheremaininglifeofthefinancialinstrument,ratherthanbyconsideringanincreaseinECL.

Theassessmentofcreditrisk,andtheestimationofECL,arerequiredtobeunbiasedandprobability-weighted,andshouldincorporateallavailableinformation which is relevant to the assessment including information about past events, current conditions and reasonable and supportableforecastsoffutureeventsandeconomicconditionsatthereportingdate.Inaddition,theestimationofECLshouldtakeintoaccountthetimevalueofmoney.Asaresult,therecognitionandmeasurementofimpairmentisintendedtobemoreforward-lookingthanunderIAS39andtheresultingimpairmentchargewilltendtobemorevolatile.Itwillalsotendtoresultinanincreaseinthetotallevelofimpairmentallowances,sinceallfinancialassetswillbeassessedforatleast12-monthECLandthepopulationoffinancialassetstowhichlifetimeECLappliesislikelytobelargerthanthepopulationforwhichthereisobjectiveevidenceofimpairmentinaccordancewithIAS39.

Hedge accounting

Thegeneralhedgeaccountingrequirementsaimtosimplifyhedgeaccounting,creatingastrongerlinkbetweenitandriskmanagementstrategyandpermittingtheformertobeappliedtoagreatervarietyofhedging instrumentsandrisks.Thestandarddoesnotexplicitlyaddressmacrohedgeaccountingstrategies,whicharebeingconsideredinaseparateproject.Toremovetheriskofanyconflictbetweenexistingmacrohedgeaccountingpracticeandthenewgeneralhedgeaccountingrequirements,IFRS9includesanaccountingpolicychoicetoremainwithIAS39hedgeaccounting.

Transition

Theclassificationandmeasurementandimpairmentrequirementsareappliedretrospectivelybyadjustingtheopeningbalancesheetatthedateofinitialapplication,withnorequirementtorestatecomparativeperiods.

Themandatoryapplicationdateforthestandardasawholeis01January2018,butitispossibletoapplytherevisedpresentationforcertainliabilitiesmeasuredatfairvaluefromanearlierdate.




(b) Principles of consolidation

Theconsolidatedfinancialstatements includethecompany, itssubsidiaries, jointlycontrolledentitiesandassociatedcompanies.Theresultsofsubsidiaries,jointlycontrolledentitiesandassociatedcompaniesacquiredordisposedofduringtheyearareincludedintheconsolidatedStatementof Profit or Loss and Statement of Profit or Loss and Other Comprehensive Income from the date of their acquisition or up to the date oftheirdisposal.Theconsolidatedfinancialstatementshavebeenpreparedinaccordancewiththeacquisitionmethod.Thecostofanacquisitionismeasuredasthefairvalueoftheassetsgiven,equityinstrumentsissuedandliabilitiesincurred.Acquisition-relatedcostsareexpensedasincurred.Theexcessofthecostofacquisitionoverthefairvalueofthenetassetsacquiredisrecordedasgoodwill.Ifthecostofacquisitionislessthanthefairvalueofthenetassetsacquired,thedifferenceisrecognisedintheStatementofProfitorLossofthecurrentyear.Theconsiderationfortheacquisitionincludescontingentconsiderationarrangement.Whereabusinesscombinationisachievedinstages,theGroup’spreviouslyheldinterestsintheacquiredentityareremeasuredtofairvalue,withtheresultinggainorlossrecognisedinStatementofProfitorLoss.AmountspreviouslyrecognisedinOtherComprehensiveIncomearereclassifiedtoprofitorloss,wheresuchtreatmentwouldbeappropriateifthatinterestweredisposed.ChangesintheGroup’sinterestsinsubsidiariesthatdonotresultinalossofcontrolareaccountedforasequitytransactions.ThecarryingamountsoftheGroup’s interestsandthenoncontrolling interestsareadjustedtoreflectthechangesintheirrelative interests inthesubsidiaries.Anydifferencebetweentheamountbywhichthenoncontrollinginterestsareadjustedandthefairvalueoftheconsiderationpaidorreceivedisrecognisedinequityattributabletoownersofthecompany.WhentheGroupdisposesorlosescontrolofasubsidiary,theprofitorlossiscalculatedasthedifferencebetweentheconsiderationreceived,grossedupforanynoncontrollinginterest,andthefairvalueofassets(includinggoodwill)andliabilities.AmountspreviouslyrecognisedinOtherComprehensiveIncomearereclassifiedtoprofitorloss.

Inpreparingconsolidatedfinancialstatements,theGroupcombinesthefinancialstatementsoftheparentanditssubsidiariesonalinebylinebyaddingtogetherlikeitemsofassets,liabilities,equity,incomeandexpenses.Intragroupbalancesandtransactions,includingincome,expensesanddividendsareeliminatedinfull.

Subsidiariesareallentities,includingstructuredentities,overwhichtheGrouphascontrol.TheGroupcontrolsanentitywhenitisexposedto,orhasrightstovariablereturnsfromitsinvolvementwiththeentityandhastheabilitytoaffectthosereturnsthroughitspowerovertheentity.

(c) Impairment of non-financial assets

If the recoverable amount of an asset is estimated to be less than the carrying amount, the carrying amount of the asset is reduced to itsrecoverableamount.Animpairmentlossisrecognisedasanexpenseimmediately,unlesstherelevantassetiscarriedatarevaluedamountinwhichcasetheimpairmentlossistreatedasarevaluationdecreasetotheextentofthecorrespondingrevaluationsurplus.Whereanimpairmentlosssubsequentlyreverses,thecarryingamountoftheassetisincreasedtotherevisedestimateofitsrecoverableamount,providedthattheincreasedcarryingamountdoesnotexceedthecarryingamountthatwouldhavebeendeterminedhadnoimpairmentlossbeenrecognisedfortheassetinprioryears.Areversalofanimpairmentlossisrecognisedasincomeimmediately,unlesstherelevantassetiscarriedatarevaluedamount,inwhichcasethereversaloftheimpairmentlossistreatedasarevaluationincrease.

(d) Foreign currency translation

Itemsincludedinthefinancialstatementsofeachofthegroup’sentitiesaremeasuredusingthecurrencyoftheprimaryeconomicenvironmentinwhichtheentityoperates(functionalcurrency).TheconsolidatedfinancialstatementsarepresentedinMauritianRupees,whichistheGroup’sfunctionalandpresentationcurrency.ForeigncurrencytransactionsaretranslatedintoMauritianRupeesusingexchangeratesprevailingatthedates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation atyear-endexchangeratesofmonetaryassetsandliabilitiesdenominatedinforeigncurrenciesarerecognisedintheStatementofProfitorLoss.Translationdifferencesonnon-monetaryfinancialassetsandliabilitiessuchasequitiesheldatfairvaluethroughprofitorlossarerecognisedinprofitorlossaspartofthefairvaluegainorloss.Translationdifferencesonnon-monetaryfinancialassets,suchasequitiesclassifiedasavailableforsale,areincludedinOtherComprehensiveIncome.




(d) Foreign currency translation (cont’d)

TheresultsandfinancialpositionoftheGroupentitiesthathaveafunctionalcurrencydifferentfromMauritianRupeearetranslated intothepresentationcurrencyasfollows:

•AssetsandliabilitiesforeachStatementofFinancialPositionpresentedaretranslatedattheclosingrateatthereportingdate.

•IncomeandexpensesforeachStatementofProfitorLossaretranslatedataverageexchangerates.

AllresultingexchangedifferencesarerecognisedinOtherComprehensiveIncome.

Ondisposalofforeignentities,suchtranslationdifferencesarerecognisedintheStatementofProfitorLossaspartofthegainorloss.

(e) Non-current assets classified as held for sale

Non-currentassetsclassifiedasheldforsalearemeasuredatthelowerofcarryingamountandfairvaluelesscoststoselliftheircarryingamountisrecoveredprincipallythroughasaletransactionratherthanthroughcontinuinguse.Thisconditionisregardedasmetonly,whenthesaleishighlyprobableandtheassetisavailableforimmediatesaleinitspresentcondition.WhentheGroupiscommittedtoasaleplaninvolvinglossofcontrolofasubsidiary,alloftheassetsandliabilitiesofthatsubsidiaryareclassifiedasheldforsalewhenthecriteriadescribedabovearemet,regardlessofwhethertheGroupwillretainanon-controllinginterestinitsformersubsidiaryafterthesale.

(f) Comparatives

Wherenecessary,comparativefigureshavebeenamendedtoconformwithchangesinpresentationorinaccountingpoliciesinthecurrentyear.

(g) Significant accounting judgements and estimates

Thepreparationofthefinancialstatementsrequiresthatmanagementmakeestimates,judgementsandassumptionsthataffecttheapplicationofaccountingpoliciesandthereportedamountsofassets,liabilities,incomeandexpenses.Actualresultsmaydifferfromtheseestimates.Estimatesandunderlyingassumptionsarereviewedonanongoingbasis.Theyarebasedonhistoricalexperienceandotherfactors,includingexpectationsoffutureeventsthatmayhaveafinancialimpactontheGroupandthatarebelievedtobereasonableunderthecircumstances.

Revisionstoaccountingestimatesarerecognisedintheperiodinwhichtheestimatesareincorporatedandinanyfutureperiodsaffected.

Significantareasofestimation,uncertaintyandcritical judgementsinapplyingaccountingpoliciesthathavethemostsignificanteffectontheamountsrecognisedinthefinancialstatementsareoutlinedintherelevantnote.


EXPLANATORYNOTES30 June 2016

2. FINANCIAL RISK MANAGEMENT

Financial risk factors

TheGroup’sactivitiesexposeittoavarietyoffinancialrisks,includingtheeffectsofchangesindebtandequitymarketprices,foreigncurrencyexchangeratesandinterestrates.

TheGroup’soverall riskmanagementprogrammefocuseson theunpredictabilityof financialmarketsandseeks tominimisepotential adverseeffectson the financialperformanceoftheGroup.TheGroupcoverstotheextentpossibleexposuresthroughcertainhedgingoperations.Writtenprincipleshavebeenestablishedforoverallriskmanagement,aswellaswrittenpoliciescoveringspecificareas,suchasforeignexchangerisk,interestraterisk,creditriskandinvestingexcessliquidity.

TheGroupoperatesinternationallyandisexposedtoforeignexchangeriskarisingfromvariousmajorcurrencies.Group’sentitiesuseforwardcontracts,wheneverpossible,tohedgetheirexposuretoforeigncurrencyrisk.Eachsubsidiaryisresponsibleforhedgingthenetpositionineachcurrencybyusingcurrencyborrowings.

Exposureinmajorcurrenciesareasfollows:

GROUP COMPANY

Inmillion EURO USD GBP Rs&others Total Rs&others

30 June 2015Noncurrentfinancialassets 1.3 52.8 - 326.0 380.1 1,315.5Noncurrentfinancialliabilities (42.4) (3.5) - (3,603.7) (3,649.6) (1,894.0)Longtermexposure (41.1) 49.3 - (3,277.7) (3,269.5) (578.5)Currentfinancialassets 1,015.5 282.3 12.9 1,911.3 3,222.0 877.8Currentfinancialliabilities (882.0) (365.5) - (2,359.9) (3,607.4) (1,206.5)Shorttermexposure 133.5 (83.2) 12.9 (448.6) (385.4) (328.7)Total exposure 92.4 (33.9) 12.9 (3,726.3) (3,654.9) (907.2)

30 June 2016Noncurrentfinancialassets - 53.9 - 657.8 711.7 1,628.5Noncurrentfinancialliabilities (179.7) (261.4) - (6,947.9) (7,389.0) (1,894.0)Longtermexposure (179.7) (207.5) - (6,290.1) (6,677.3) (265.5)Currentfinancialassets 967.9 296.9 6.6 2,658.3 3,929.7 535.6Currentfinancialliabilities (757.7) (338.5) - (4,135.9) (5,232.1) (1,566.6)Shorttermexposure 210.2 (41.6) 6.6 (1,477.6) (1,302.4) (1,031.0)Total exposure 30.5 (249.1) 6.6 (7,767.7) (7,979.7) (1,296.5)

ThesensitivityofthenetresultfortheyearandequitywithregardstotheGroup’sfinancialassetsandliabilitiesandtheEUROtoRupee,USDtoRupeeandGBPtoRupeeexchangerateisshowninnote2(a).

(a) Foreign exchange risk

IfRupeehadstrengthened/weakenedby1%againstEURO,USDandGBPthefinancialimpactwillbeasfollows:

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Netresultfortheyear(+/-) 2.1 0.7 - -

Equity(+/-) 2.1 0.7 - -



2. FINANCIAL RISK MANAGEMENT (CONTD)

(b) Interest rate risk

TheGroup’sincomeandoperatingcashflowsareinfluencedbychangingmarketinterestrates.TheGroup’sborrowingsandlendingsarecontractedatvariablerates.

Thesensitivityofthenetresultfortheyearandequitytoapossiblechangeininterestratesof+or-0.25%,witheffectfromthebeginningoftheyearisshownbelow.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Netresultfortheyear(+/-) 22.0 10.8 7.0 7.0

Equity(+/-) 22.0 10.8 7.0 7.0

(c) Credit risk

TheGrouphaspoliciesinplacetoensurethatcreditsalesofproductsandservicesaremadetocustomersafteracreditassessmenthasbeencarriedoutandcredittermsagreed(Refertonotes20and21).TheGrouphasnosignificantconcentrationofcreditrisk,withexposurespreadoveralargenumberoflocalandoverseascustomers.

CreditfacilitiestocustomersaremonitoredandtheGrouphaspoliciesinplacetoidentifydefaultsandrecoveramountsdue.Themaximumexposuretocreditriskatthereportingdateisthefairvalueofthereceivables.Specificprovisionandportfolioprovisionaremadeaccordingly.

(d) Liquidity risk

Prudentliquidityriskmanagementimpliesmaintainingsufficientcashandmarketablesecuritiesandtheavailabilityoffundingthroughanadequateamountofcommittedcredit facilities fromfinancial institutions.Duetothedynamicnatureof theunderlyingbusinesses,GroupTreasuryaimsatmaintainingflexibility in fundingbykeepingcommittedcreditfacilitieswithbanks.

(e) Derivative financial instruments

TheGrouphasnocommitmentinmaterialderivativeinstruments.

(f) Capital risk management

TheGroupandtheCompanyaimatdistributinganadequatedividendwhilstensuringthatsufficient resourcesaremaintainedtocontinueasagoingconcernandforexpansion.Theratioofdebttoequityisusedtomanagecapitalriskandiskeptbelow0.75.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Debt 8,802.7 4,319.1 2,942.5 2,516.9

Equity 16,419.9 15,049.9 5,205.5 5,280.7

Debt/equityratio 0.54 0.29 0.57 0.48

(g) Sensitivity analysis - equity price risk

TheGroup/Company isexposedtoequity-priceriskmainlybecauseof itsstrategic investments inequity listedcompaniesontheStockExchangeofMauritius.Theinvestmentsareheldformediumtermandareexposedtofluctuationsintheequitymarket.A5%increase(decrease)intherelevantequitypriceswillincrease(decrease)equitybyRs25.8m(2015Rs7.1m).

Ourprocessasregardstotheriskassociatedwiththeseinvestmentsisamonitoringoftheentities’annualfinancialperformanceandtheanalysisoftheirreturnoninvestment.



3. REVENUE

Accounting policy

RevenuecomprisesthefairvalueoftheconsiderationreceivedorreceivableforthesaleofgoodsandservicesintheordinarycourseoftheGroup’sactivities.Revenueisshownnetofvalueaddedtax,returns,rebatesanddiscountsaftereliminatingsaleswithintheGroup.

TheGrouprecognisesrevenuewhenitcanreliablybemeasured,itisprobablethatfutureeconomicbenefitswillflowtotheentityandwhenspecificcriteriadescribedbelowaremet.

Salesofgoodsarerecognisedonthetransfertothecustomerofthesignificantrisksandrewardsofownershipofthegoodswhichgenerallycoincideswithdeliverydate.

Salesofservicesarerecognisedwhentheserviceshavebeenperformedandtitlehavepassed.

Managementfeesarerecognisedastheservicesareprovided.

Interestincomeisaccruedonatimeproportionbasisusingtheeffectiveinterestmethod.

Dividendincomeaccrueswhentheshareholders’righttoreceivepaymentisestablished.

Rentalincomeisrecognisedinaccordancewiththesubstanceoftherelevantagreement.

Revenuefromsaleofvillasisrecognisedusingthepercentageofcompletionmethodasconstructionprogresses.

Saleofvillasisnetofrebatesanddiscountsandisacccountedforasfollows:

•30%onsignatureofsalesdeed;

•5%oncompletionoffoundationstage;

•35%oncompletionofbuildingenvelope;

•25%oncompletionoftestingofmechanicalandelectricalworks;and

•5%onsubmissionofkey.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Revenueismadeupof Salesofgoods 900.5 1,216.3 - -Salesofservices 6,683.2 5,339.4 - -Total sales 7,583.7 6,555.7 - -

Commission 301.2 267.3 - -Otherincome 207.9 264.0 202.5 144.0Rent 31.5 33.7 37.7 37.2Investmentincome-Quoted - - 77.0 29.4 -Unquoted 24.1 12.8 196.8 133.2Interestincome 19.0 17.5 83.5 48.8Total revenue 8,167.4 7,151.0 597.5 392.6



4. PROFIT FROM OPERATIONS BEFORE FINANCE COSTS

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Revenue(note3) 8,167.4 7,151.0 597.5 392.6

Sundryincome 9.7 9.5 0.1 0.1

Total income 8,177.1 7,160.5 597.6 392.7

Changesininventoriesoffinishedgoodsandworkinprogress 76.9 5.0 - -

Costofrawmaterials,consumablesandoutsourcedservices (3,773.1) (3,586.5) - -

Employeebenefitsexpense:

Wages,salariesandrelatedexpense (1,472.5) (1,367.3) (155.0) (132.5)

Pensionplansandotherretirementbenefitcosts (104.5) (109.2) (14.9) (16.1)

Depreciationandamortisation (324.7) (296.2) (12.2) (13.2)

Foreignexchangedifferences 71.3 65.5 - -

Otherexpensesandservicesincludingprofessionalservices (1,616.9) (1,294.0) (121.5) (165.9)

Profit from operations before finance costs 1,033.6 577.8 294.0 65.0

5. FINANCE COSTS

Accounting policy

Financecostscompriseofinterestonborrowingsusingtheeffectiveinterestmethodorthecontractualrateandaccruetotheperiodend.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Thefinancecostison

Bankoverdrafts 22.6 22.2 4.0 3.8

Bankloans&otherloansrepayablebyinstalments

Withinoneyear 177.4 23.3 - -

Afteroneyearandbeforetwoyears - 1.5 - -

Aftertwoyearsandbeforefiveyears 4.7 5.6 4.1 5.6

Afterfiveyears 102.0 110.0 - -

Bankloans&otherloansnotrepayablebyinstalments

Withinoneyear 117.0 69.1 70.2 36.3

Afteroneyearandbeforetwoyears - 18.6 - 18.6

Aftertwoyearsandbeforefiveyears 40.3 - 29.2 -

Afterfiveyears 66.0 28.6 66.0 28.6

Financeleaseobligations 11.4 8.5 0.1 0.2

Total finance costs 541.4 287.4 173.6 93.1



6. EXCEPTIONAL ITEMS

Accounting policy

ExceptionalitemsarematerialitemsofincomeorexpensethathavebeendisclosedseparatelyintheStatementofProfitorLosstoclarifyunderstandingoffinancialperformance.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Excessoffairvalueofshareofnetassetsoverconsiderationprice(see(a)) 100.5 - - -

(Loss)profitondisposaloffinancialassets(see(b)) (3.5) 100.0 (3.4) 70.1

Profitonsaleofproperties(see(c)) 6.2 5.8 - -

Reorganisationcosts - (29.4) - -

Total exceptional items 103.2 76.4 (3.4) 70.1

Profit(losses)in2016arosemainlyfrom:

(a) (i)theacquisitionbyAscenciaLimitedofanadditionalholdingof34.9%inBagapropLimited,resultinginachangeinholdingfrom50.1%to85%andreportedasasubsidiaryinsteadofajointlycontrolledentity.

(ii)theacquisitionbyForesitePropertyHoldingLtdofa25%holdinginMallofMauritiusatBagatelleLtd.

TheabovetransactionswereimpactedbyacquisitionrelatedcostsofRs65.4m.

(b) thedisposalofEdithCavellPropertiesLtdbytheCompany,thedisposalofR’FrigoLtdanddeconsolidationofRidsCorreioLtdbytheGroup.

(c) thedisposalofpropertiesbyCieSucrièredeBelOmbreLtd,asubsidiarycompany.

7. TAXATION

Accounting policy

Thetaxexpensecomprisescurrentanddeferredtax.Taxisrecognisedinprofitorloss,excepttotheextentthatitrelatestoitemsrecognisedinothercomprehensiveincomeordirectlyinequity.

Currenttax

Thecurrentincometaxchargeisbasedontaxableincomefortheyearcalculatedonthebasisoftaxlawsenactedorsubstantivelyenactedbytheendofthereportingperiod.

Deferredtax

Deferred incometax is recognisedon temporarydifferencesarisingbetweentheexpected taxbasesofassetsand liabilitiesand theircarryingamounts in the financialstatements.However,thedeferredincometaxisnotaccountedforifitarisesfrominitialrecognitionofanassetorliabilityinatransactionwhichaffectsneithertheaccountingnortaxableprofitorloss.Deferredincometaxisdeterminedusingtaxrates(andlaws)thathavebeenenactedtoapplywhentherelateddeferredincometaxassetisrealisedorthedeferredincometaxliabilityissettled.

Deferredtaxassetshavebeenrecognisedfordeductibletemporarydifferencesandunusedtaxlossesonlyifitisprobablethatfuturetaxableamountswillbeavailabletoutilisethosetemporarydifferencesandlosses.Deferredtaxassetsarereviewedateachreportingdateandarereducedtotheextentthatitisnolongerprobablethattherelatedtaxbenefitwillberealised.

Forthepurposesofmeasuringdeferredtaxliabilitiesanddeferredtaxassetsforinvestmentpropertiesthataremeasuredusingthefairvaluemodel,thecarryingamountsofsuchpropertiesarepresumedtoberecoveredentirelythroughsale,unlessthepresumptionisrebutted.Thepresumptionisrebuttedwhentheinvestmentpropertyisdepreciableandisheldwithinabusinessmodelwhoseobjectiveistoconsumesubstantiallyalloftheeconomicbenefitsembodiedintheinvestmentpropertyovertime,ratherthanthroughsale.



7. TAXATION (CONTD)

Significant accounting judgements and estimates

IndeterminingtheamountofcurrentanddeferredtaxtheGroupreliesonestimatesandassumptionsandmayinvolveaseriesofjudgementsaboutfutureevents.Assumptionsaremadeabouttheapplicationofincometaxlegislation.Theseassumptionsaresubjecttoriskanduncertaintyandthereisapossibilitythatchangesincircumstanceswillalterexpectationswhichmayimpacttheamountofdeferredtaxassets,liabilitiesandprovisionforincometaxesrecordedinthestatementoffinancialposition.Inthesecircumstancesthecarryingamountofdeferredtaxassets,liabilitiesandprovisionforincometaxesmaychangeimpactingtheprofitorlossoftheGroup.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Provisionfortheyear

(15%-35%)-(2015:15%-35%) 69.5 87.5 - -

(Over)underprovisioninpreviousyears (5.1) 2.3 - -

Movementindeferredtaxation(note27) 64.8 19.0 - -

Taxation for the year 129.2 108.8 - -

Theeffectivetaxratediffersfromthatdeterminedbyapplyingthestatutoryincometaxratetoprofitbeforetaxation.Thisisdueprimarilytodifferenttaxrates,investmentallowance,non-deductibleexpenses,taxexemptincome,taxcreditincomeandunusedtaxlosses.

GROUP COMPANY

2016 2015 2016 2015

% % % %

Reconciliationofeffectivetaxrateisasfollows

Taxrateapplicable 15.0 15.0 15.0 15.0

Allowableandnon-allowabletaxitems (11.1) (2.0) (0.4) (52.2)

Recognisedtaxlosses (5.4) (6.0) (14.6) -

Unrecognisedtaxlosses 7.2 10.8 - 37.2

Differencebetweenlocaltaxrateandotherrates 1.7 1.7 - -

Deferredtaximpact 7.4 4.1 - -

Effective tax rate 14.8 23.6 - -



8. EARNINGS PER SHARE

Accounting policy

Basicearningspershare(EPS)iscalculatedbydividingtheprofitorlossattributabletoordinaryshareholderoftheCompanybytheweightedaveragenumberofordinarysharesoutstandingduringtheperiod.DilutedEPSisdeterminedbyadjustingtheprofitorlossattributabletoordinaryshareholdersandtheweightedaveragenumberofordinarysharesoutstandingfortheeffectsofalldilutivepotentialordinaryshares.

GROUP

InRsmillion 2016 2015

Profitattributabletoownersoftheparent 405.1 544.1

Adjustmentsforexceptionalitems (64.2) (74.5)

Profit attributable to the owners of the parent before exceptional items 340.9 469.6

Numberofsharesinissue 252,045,300 252,045,300

Earnings per share (in Rs) 1.61 2.16

Earnings per share (excluding exceptional items) (in Rs) 1.35 1.86



9. OTHER COMPREHENSIVE INCOME

GROUP

Revaluationreserves

Translationreserves

RetainedEarnings

Attributabletoowners

oftheparent

Non-controllingInterests TotalInRsmillion

30 June 2016

Gainsarisingduringtheyear(note28) - - 2.7 2.7 6.3 9.0

Incometax - - (1.9) (1.9) (0.9) (2.8)

Remeasurement of defined benefit pension plans - - 0.8 0.8 5.4 6.2

ShareofOtherComprehensiveIncomeofassociatedcompanies 56.0 - (77.1) (21.1) - (21.1)

Other Comprehensive income that will not be reclassified to profit or loss 56.0

-(76.3) (20.3) 5.4 (14.9)

Exchangedifferencesontranslatingforeignentities - (25.4) - (25.4) 6.9 (18.5)

Gains(losses)arisingonfairvalueofavailable-for-salefinancialassets 50.9 - - 50.9 (0.2) 50.7

ShareofOtherComprehensiveIncomeofjointlycontrolledentities (0.7) (0.2) - (0.9) 0.3 (0.6)

ShareofOtherComprehensiveIncomeofassociatedcompanies (55.0) 55.3 (12.3) (12.0) 0.2 (11.8)

Other Comprehensive income that may be reclassified subsequently to profit or loss (4.8) 29.7 (12.3) 12.6 7.2 19.8

Other Comprehensive Income for the year ended 30 June 2016 51.2 29.7 (88.6) (7.7) 12.6 4.9

30June2015

Remeasurementofdefinedbenefitpensionplans - - 4.3 4.3 (1.1) 3.2

ShareofOtherComprehensiveIncomeofassociatedcompanies 106.7 - (84.9) 21.8 - 21.8

Other Comprehensive income that will not be reclassified to profit or loss 106.7

-(80.6) 26.1 (1.1) 25.0

Exchangedifferencesontranslatingforeignentities - 13.8 - 13.8 73.9 87.7

Lossesarisingduringtheyear(note15) (87.6) - - (87.6) (0.2) (87.8)

ReclassificationadjustmentsinStatementsofProfitorLoss 15.4 - - 15.4 - 15.4

Losses arising on fair value of available-for-sale financial assets (72.2) - - (72.2) (0.2) (72.4)

ShareofOtherComprehensiveIncomeofjointlycontrolledentities - 0.4 - 0.4 3.3 3.7

ShareofOtherComprehensiveIncomeofassociatedcompanies 27.9 (87.5) (6.6) (66.2) 0.2 (66.0)

Other Comprehensive income that may be reclassified subsequently to profit or loss (44.3) (73.3) (6.6) (124.2) 77.2 (47.0)

Other Comprehensive Income for the year ended 30 June 2015 62.4 (73.3) (87.2) (98.1) 76.1 (22.0)



9. OTHER COMPREHENSIVE INCOME (CONTD)

COMPANYRevaluation

reservesRetainedEarnings TotalInRsmillion

30 June 2016

Lossesarisingonremeasurementofdefinedbenefitpensionplans - (21.8) (21.8)

Other Comprehensive income that will not be reclassified to profit or loss - (21.8) (21.8)

Gainsarisingonfairvalueofavailable-for-salefinancialassets 51.4 - 51.4

Other Comprehensive income that may be reclassified subsequently to profit or loss 51.4 - 51.4

Other comprehensive income for the year ended 30 June 2016 51.4 (21.8) 29.6

30June2015

Remeasurementofdefinedbenefitpensionplans - 1.5 1.5

Other Comprehensive income that will not be reclassified to profit or loss - 1.5 1.5

Lossesarisingonfairvalueofavailable-for-salefinancialassets (87.3) - (87.3)

ReclassificationadjustmentsinStatementsofProfitorLoss 15.4 - 15.4

Gains arising on fair value of available-for-sale financial assets (71.9) - (71.9)

Other Comprehensive income that may be reclassified subsequently to profit or loss (71.9) - (71.9)

Other comprehensive income for the year ended 30 June 2015 (71.9) 1.5 (70.4)



ASSETS


10. PROPERTY, PLANT AND EQUIPMENT

Accounting policy

Property,plantandequipmentisstatedatcost,exceptforlandandbuildings,netofaccumulateddepreciationandaccumulatedimpairmentlosses,ifany.

Suchcostincludesthecostofreplacingpartoftheproperty,plantandequipmentandborrowingcostsforlongtermconstructionprojectsiftherecognitioncriteriaaremet.Whensignificantpartsofproperty,plantandequipmentarerequiredtobereplacedatintervals,theGrouprecognisessuchpartsasindividualassetswithspecificusefullivesanddepreciation,respectively.Likewise,whenamajorinspectionisperformed,itscostisrecognisedinthecarryingamountoftheplantandequipmentasareplacementiftherecognitioncriteriaaresatisfied.AllotherrepairandmaintenancecostsarerecognisedintheStatementofprofitorlossasincurred.

Anitemofproperty,plantandequipmentandanysignificantpartinitiallyrecognisedisderecognisedupondisposalorwhennofutureeconomicbenefitsareexpectedfromitsuseordisposal.Anygainorlossarisingonderecognitionoftheasset(calculatedasthedifferencebetweenthenetdisposalproceedsandthecarryingamountoftheasset)isincludedintheStatementofprofitorlosswhentheassetisderecognised.

Landandbuildingsheldforuseintheproductionorsupplyofgoodsorservicesorforadministrativepurposes,arestatedintheStatementofFinancialPositionatfairvaluebasedonvaluationperformednormallyeverythreeyears.

TheGroupaccountsforlandandbuildingsatfairvaluecarriedoutbyqualifiedindependentvaluersinJune2015.Allfairvaluationsarecategorisedin‘level3’asperIFRS13definition.

Thefairvalueoflandandbuildingsisarrivedatasfollows:

•Hotelsandlogisticsdivisions-‘Salescomparisonapproach’withconsiderationforlocation,wearandtearandfrequencyofrenovation

•PropertyandRealEstate-‘Discountedcashflow’fortenantedpremisesand‘salescomparisonapproach’forothers

•Landundercultivationandbareland-‘salescomparisonapproach’or‘replacementcosts’

IncreasesinthecarryingamountarisingonrevaluationoflandandbuildingsarecreditedtoOtherComprehensiveIncomeandshownasrevaluationsurplusinshareholders’equity.DecreasesthatoffsetpreviousincreasesofthesameassetarechargedinOtherComprehensiveIncomeanddebitedagainstrevaluationreservesdirectlyinequity;allotherdecreasesarechargedtoprofitorloss.

Anasset’scarryingamountiswrittendownimmediatelytoitsrecoverableamountiftheasset’scarryingamountisgreaterthanitsestimatedrecoverableamount.

GainsandlossesondisposalaredeterminedbycomparingtheproceedswiththecarryingamountandarerecognisedintheStatementofprofitorloss.

Whenrevaluedassetsaresold,thecorrespondingamountsincludedinrevaluationreservesaretransferredtoretainedearnings.

Depreciation

Freeholdlandisnotdepreciated.Depreciationonproperty,plantandequipmentiscalculatedonthestraightlinemethodtowriteoffthecostorrevaluedamountsoftheassetstotheirresidualvaluesasfollows:

%

Buildings 2-4

Plant&equipment 15-100

Vehicles 15-25

Hotelbuildings 3-4

Theasset’sresidualvaluesandusefullivesarereviewedandadjustedifappropriate,attheendofeachreportingyear.



10. PROPERTY, PLANT AND EQUIPMENT (CONTD)

Accounting policy (contd)

Borrowingcosts

Interestcostsonborrowingstofinancetheconstructionofproperty,plantandequipmentarecapitalisedduringtheperiodoftimethatisrequiredtocompleteandpreparetheassetforitsintendeduse,aspartofthecostoftheasset.

Allotherborrowingcostsareexpensedintheyeartheyoccur.Borrowingcostsconsistofinterestandothercoststhatanentityincursinconnectionwiththeborrowingoffunds.


Revaluationexercisesarenormallycarriedouteverythreeyearsbyindependentqualifiedvaluers.Theirassumptionsarebasedonpotentialmarketconditions.Intheabsenceofproperpropertymarketdata,valuationmayvaryfromdifferentvaluers.

Thetechniquesusedareasfollows:

•Landisvaluedonthebasisofrecentlytransactedpropertiesinthatspecificregion.

•Forthedevelopedsites,thedepreciatedreplacementcostmethodologyhasbeenusedandconsistsofthedepreciatedreplacementcostofthebuilding,plusthemarketvalueoftheland.

•Fortheunimprovedsites,thebasisofvaluationisthemarketvalue,whichisthevalueforwhichsuchassetcouldbeexchangedbetweenknowledgeablewillingpartiesinanarm’slengthtransaction.

Estimateofusefullivesandresidualvalue

Thedepreciationandamortisationchargecalculationrequireanestimateoftheeconomicusefullivesoftherespectiveassets.TheGroupuseshistoricalexperienceandcomparablemarketavailabledatatodetermineusefullives.

ASSETS



GROUP

InRsmillionLandandBuildings

PlantandEquipment Vehicles Total

Cost or valuation

At1July2014 7,222.6 2,045.9 305.4 9,573.9Additions 75.5 135.7 60.0 271.2Disposals - (167.3) (44.8) (212.1)Exchangedifferences 7.5 (4.0) (0.7) 2.8Transfers 2.6 - - 2.6Acquisitionofsubsidiaries - 284.0 20.5 304.5Deconsolidationofsubsidiaries - (20.4) (23.9) (44.3)At 30 June 2015 7,308.2 2,273.9 316.5 9,898.6

Additions 120.5 266.6 45.1 432.2Disposals - (60.5) (27.9) (88.4)Exchangedifferences - (5.9) (2.3) (8.2)Acquisitionofsubsidiaries 23.3 124.5 6.4 154.2At 30 June 2016 7,452.0 2,598.6 337.8 10,388.4

Depreciation and impairment

At1July2014 242.2 1,678.8 202.5 2,123.5Chargefortheyear 96.0 136.4 42.3 274.7Disposaladjustment - (153.9) (41.8) (195.7)Exchangedifferences - (3.3) (0.9) (4.2)Acquisitionofsubsidiaries - 167.4 11.8 179.2Deconsolidationofsubdiaries - (17.3) (11.8) (29.1)At 30 June 2015 338.2 1,808.1 202.1 2,348.4

Chargefortheyear 88.7 180.6 37.3 306.6Disposaladjustment - (58.5) (23.1) (81.6)Exchangedifferences 0.2 (3.6) (2.0) (5.4)Acquisitionofsubsidiaries - 45.1 3.7 48.8At 30 June 2016 427.1 1,971.7 218.0 2,616.8

Carrying valueAt 30 June 2016 7,024.9 626.9 119.8 7,771.6At 30 June 2015 6,970.0 465.8 114.4 7,550.2

Carrying value of assets pledgedAt 30 June 2016 6,969.4 590.1 124.6 7,684.1At 30 June 2015 6,742.6 417.6 111.0 7,271.2




Novaluationwascarriedoutthisyear.A5%deviationfromobservableparameterswillchangethevaluationbyRs22.7m.The‘salescomparisonapproach’isimpactedbythedemandandpropertymanagementinthevicinity.Therewerenotransfersbetweenlevels(asdefinedbyIFRS13)duringtheyear.

AdditionsincludeRs52.1m(2015-Rs39.4m)ofassetsheldunderfinanceleases.

COMPANY

InRsmillionLandandBuildings

PlantandEquipment Vehicles Total

Cost or valuation

At1July2014 3.7 170.1 33.9 207.7Additions - 2.9 9.1 12.0Disposals - (0.1) (3.0) (3.1)At 30 June 2015 3.7 172.9 40.0 216.6

Additions - 2.7 10.4 13.1Disposals - (3.0) (7.8) (10.8)At 30 June 2016 3.7 172.6 42.6 218.9

Depreciation and impairment

At1July2014 1.6 163.4 23.1 188.1Chargefortheyear 0.2 5.7 4.7 10.6Disposaladjustment - (0.1) (3.0) (3.1)At 30 June 2015 1.8 169.0 24.8 195.6

Chargefortheyear 0.1 3.3 6.7 10.1Disposaladjustment - (3.0) (6.4) (9.4)At 30 June 2016 1.9 169.3 25.1 196.3

Carrying valueAt 30 June 2016 1.8 3.3 17.5 22.6At 30 June 2015 1.9 3.9 15.2 21.0

Carrying value of assets pledgedAt 30 June 2016 1.8 3.3 17.5 22.6At 30 June 2015 1.9 3.9 15.2 21.0

ASSETS



GROUP COMPANY

InRsmillion 2016 2015 2016 2015

(i) Landandbuildingsrepresent

Freeholdlandandbuildings 6,947.8 6,810.5 1.8 1.9

Buildingsstandingonleaseholdland 504.2 497.7 - -

Land and buildings 7,452.0 7,308.2 1.8 1.9

OntheCostbasis,thesepropertieswouldhavebeenasfollows:

Cost 2,439.9 2,319.4 3.7 3.7

Accumulateddepreciation (775.3) (686.6) (1.9) (1.8)

Carrying value 1,664.6 1,632.8 1.8 1.9

(ii) Leasedassets

Plantandequipment 115.6 85.1 - -

Motorvehicles 153.0 138.1 4.0 4.0

Cost 268.6 223.2 4.0 4.0


Motorvehicles 82.9 71.3 3.7 3.1

Accumulated depreciation 144.1 130.9 3.7 3.1


Motorvehicles 70.1 66.8 0.3 0.9

Carrying value 124.5 92.3 0.3 0.9



11. INVESTMENT PROPERTIES

Accounting policy

InvestmentpropertieswhichareheldforrentaloutsidetheGroup,capitalappreciationorbotharestatedatfairvalueattheendofeachreportingyear.TheGroupaccountsforlandandbuildingsatfairvaluation,basedonrevaluationexercisescarriedoutbyqualifiedindependentvaluers.GainsorlossesarisingfromchangesinfairvalueareincludedinStatementofprofitorlossintheyearinwhichtheyarise.Propertiesthatarebeingconstructedordevelopedforfutureuseasinvestmentpropertiesaretreatedasinvestmentproperties.

Investmentpropertiesarederecognisedwhentheyaredisposedoforwhentheinvestmentpropertyispermanentlywithdrawnfromuseandnofutureeconomicbenefitisexpectedfromitsdisposal.ThedifferencebetweenthenetdisposalproceedsandthecarryingamountoftheassetisrecognisedintheStatementofprofitorlossintheyearofderecognition.


Commercial properties

(a) TheinvestmentpropertieswerevaluedatyearendbyMessrsJonesLangLasalleasindependentvaluers,exceptforlandatKendraandDomaineSamwithacarryingamountofRs.122.7mandRs.28.3mrespectively.TheDirectorsestimatethatthecarryingamountofLandatKendraandDomaineSamreflectthefairvalue.

(b) Theinvestmentpropertiesareclassifiedaslevel3onthefairvaluehierarchy.

Thebasisofvaluationis‘MarketValue’andthisisdefinedbytheRoyalInstituteofCharteredSurveyor,SouthAfricanInstituteofValuersandInternationalValuationStandardsCommittee.

Thefairvalueofthepropertieshavebeencomputedusingthediscountedcashflowmethod.Theexpectedfuturenetincomefor5yearshasbeendiscountedatanappropriatediscountrateandaddedtotheestimatedreversionaryvalue.Thereversionaryvaluehasbeencomputedbycapitalisingthenetincomeprevailingattheendofthecashflowprojectionsanddiscountingatanappropriaterate.

TheDCFvaluationisalsotheapproachbywhichprivate,institutional,localandoverseasinvestorsanalysepropertyforinvestmentpurposestoestimatethemarketvalue.Thismethodologyalsotakesintoaccountthetimevalueofmoneybetweenthevaluationdateandthedatewhentheincomestreamtheoreticallyrevertstomarketlevels.

Maininputusedinthevaluationofcommercialpropertiesisasfollows:

Capitalisationrate 7.5%-9.5%

Reversionaryrate 7.5%-10.25%

Discountrate 12.5%-14.7%

MarketRentalGrowth 5%

ExpenseGrowth 5%

Netoperatingincomefromproperties Rs2m-Rs419m

Real estate properties

Theinvestmentpropertyisvaluedatfairvalueonanopen-marketbasisandthefairvalueisclassifiedaslevel2.

ASSETS


11. INVESTMENT PROPERTIES (CONTD)

GROUP

InRsmillion Level2 Level3 2016 2015

At1July 415.9 3,635.2 4,051.1 3,891.6

Additions - 380.9 380.9 12.1

Disposals - (20.5) (20.5) (15.5)

Gainsfromfairvalueadjustment 5.6 379.6 385.2 170.2

Exchangedifferences 2.3 - 2.3 62.0

Transfer (75.2) - (75.2) (43.1)

Acquisitionofsubsidiaries - 5,894.1 5,894.1 -

Deconsolidationofsubsidiaries - - - (26.2)

At 30 June 348.6 10,269.3 10,617.9 4,051.1

Value of assets pledged 3,753.0 1,089.0

Rental income 723.6 302.0

Direct operating expenses arising from investment properties that generate rental income 291.9 107.4

Direct operating expenses that did not generate rental income 26.6 10.1



12. INTANGIBLE ASSETS

Accounting policy

Goodwill

Goodwillonacquisitionofsubsidiariesisincludedinintangibleassets.Goodwillismeasuredastheexcessofthesumoftheconsiderationtransferred,theamountofanynoncontrollinginterestintheacquireeandthefairvalueofpreviouslyheldequityinterestintheacquireeovertheamountsofidentifiableassetsacquiredandliabilitiesassumed.If,afterreassessment,theGroup’sinterestinthefairvalueoftheacquiree’sidentifiablenetassetsexceedsthesumofconsiderationtransferred,theamountofanynon-controllinginterestsintheacquireeandthefairvalueoftheacquirer’spreviouslyheldequityinterestintheacquireetheexcessisrecognisedimmediatelyintheStatementofProfitorLoss.Differencesfromnon-controllinginterestsacquiredaftercontrolhasbeenobtained,areset-offagainstequity.Goodwilliscarriedatcostlessaccumulatedimpairmentlosses.

Annualimpairmenttestsappliedtogoodwillarecarriedoutusingdiscountedcashflowmethods.Thisisdoneonthebasisofexpectedfuturecashflowsfromthelatestmanagementplanning,whichareextrapolatedonthebasisoflong-termrevenuegrowthratesandassumptionswithregardtomargindevelopment,anddiscountedforthecapitalcostsofthebusinessunit.Testsareperformedatthecashgeneratingunit(CGU)level.Thistestisapplicabletoallgoodwill,exceptforoneinvestmentwherefairvaluelesscosttosellisused.

Ondisposalofasubsidiary,theattributableamountofgoodwillisincludedinthedeterminationofthegainsandlossesondisposal.

Otherpurchasedgoodwillconsistsmainlyofpremiumpaidbycertainsubsidiariesforacquiringagencies.Thisgoodwilliseithertestedforimpairmentoramortisedoverafiniteperiodoftimetodetermineitscarryingamountattheendoftheyear.

Computersoftware

Coststhataredirectlyassociatedwithidentifiablesoftwarewhichwillgenerateeconomicbenefitsbeyondoneyeararerecognisedasintangibleassetsandareamortisedovertheirestimatedusefullivesusingstraightlinemethod.

Amortisationrates:12%-50%


Goodwillistestedannuallyforimpairmentandcarriedatcostlessaccumulatedimpairmentlosses.Foracquiredgoodwillthevalueoftheinvestmentisbasedonafiveyeardiscountedcashflowmethod.Thediscountrateisestimatedbymanagementusingariskfreerateof6.98%basedonthecurrentlyavailableinterestrateandanestimatedriskpremiumof5.94%.Thistestisapplicabletoallgoodwill,exceptforoneinvestmentwherefairvaluelesscosttosellisused.

Attheendofthereportingyear,theGroupassessedtherecoverableamountofgoodwillanddeterminedthatthereisnoimpairmenttogoodwill.

ASSETS


12. INTANGIBLE ASSETS (CONTD)

GROUP

InRsmillionGoodwillonAcquisition Software Others Total

Cost At1July2014 105.3 169.9 101.4 376.6Additions - 8.3 57.2 65.5Disposals - (0.4) - (0.4)Exchangedifferences - (0.3) 5.6 5.3Acquisitionofsubsidiaries 214.0 8.2 - 222.2Deconsolidationofsubsidiaries (10.5) (0.9) - (11.4)At 30 June 2015 308.8 184.8 164.2 657.8

Additions 56.6 10.7 - 67.3Disposals - (5.1) - (5.1)Excessoffairvalueofnetassetsoverconsiderationprice (119.1) - - (119.1)Impairment - (2.3) - (2.3)Exchangedifferences - 0.1 0.3 0.4Deconsolidationofsubsidiaries (1.7) - (2.0) (3.7)At 30 June 2016 244.6 188.2 162.5 595.3

Amortisation At1July2014 (247.7) 142.4 6.2 (99.1)Chargefortheyear - 14.1 3.1 17.2Disposaladjustment - (0.3) - (0.3)Acquisitionofsubsidiaries - 7.0 - 7.0Deconsolidationofsubsidiaries (10.5) (0.9) - (11.4)At 30 June 2015 (258.2) 162.3 9.3 (86.6)

Chargefortheyear - 10.7 1.2 11.9Disposaladjustment - (3.4) - (3.4)Excessoffairvalueofnetassetsoverconsiderationprice (119.1) - - (119.1)Impairment - (1.8) - (1.8)Exchangedifferences - - (0.5) (0.5)Deconsolidationofsubsidiaries - - (2.0) (2.0)At 30 June 2016 (377.3) 167.8 8.0 (201.5)

Carrying valueAt 30 June 2016 621.9 20.4 154.5 796.8At 30 June 2015 567.0 22.5 154.9 744.4



12. INTANGIBLE ASSETS (CONTD)

COMPANY

InRsmillion Software Others Total

Cost

At1July2014 23.5 3.7 27.2Additions 0.3 - 0.3At 30 June 2015 23.8 3.7 27.5

Additions 0.2 - 0.2

At 30 June 2016 24.0 3.7 27.7

Amortisation At1July2014 17.8 - 17.8Chargefortheyear 2.6 - 2.6At 30 June 2015 20.4 - 20.4

Chargefortheyear 2.1 - 2.1

At 30 June 2016 22.5 - 22.5

Carrying valueAt 30 June 2016 1.5 3.7 5.2At 30 June 2015 3.4 3.7 7.1

13. INVESTMENT IN SUBSIDIARY COMPANIES

Accounting policy

IntheseparatefinancialstatementsoftheCompany, investments insubsidiarycompanies, jointlycontrolledentitiesandassociatedcompaniesarecarriedatcost.Thecarryingamountisreducedtorecogniseanyimpairmentinthevalueofindividualinvestments.

COMPANY


(a) At1July 3,253.5 3,287.8

Additions 58.5 1.7

Disposals - (0.6)

Impairment (3.7) (35.4)

At 30 June 3,308.3 3,253.5

ASSETS


13. INVESTMENT IN SUBSIDIARY COMPANIES (CONTD)

(b) Thefinancialstatementsofthefollowingsubsidiarieshavebeenincludedintheconsolidatedfinancialstatements.

Proportionof effectiveownership

Proportion of interests held byIssued ownership interests Non-controlling

Capital Direct Indirect interests Principal activity

Rs 000 % % %

AVIATIONArio(Seychelles)Ltd 47 - 100.0 - GSAofairlinesBSTravelManagementLtd 25,000 - 100.0 - TravelAgencyBSTravelManagementLimitada 216 - 100.0 - GSAofairlinesBSTravelMayotte 325 - 100.0 - TravelAgencyBEAVIAKenyaLimited 36 - 70.0 30.0 TravelAgencyBlueAlizeLtd - - 60.5 29.5 CatamaransightseeingBlueSkyRéunionSAS 2,813 - 100.0 - TravelAgencyCroisièresAustralesLtée 3,225 - 75.7 24.3 CatamaransightseeingGSAfricaAirlineServices(Pty)Ltd. 6,509 - 100.0 - GSAofairlinesPlaisanceAirTransportServicesLtd 1,500 - 100.0 - WarehousingResaplanetLtd 789 - 80.5 19.5 OnlinetouroperatingRogersAviationComoresS.A.R.L. 824 - 100.0 - GSAofairlinesRogersAviationFranceS.A.R.L. 20,760 - 100.0 - InvestmentRogersAviationHoldingCompanyLtd 115,410 100.0 - - InvestmentRogersAviationInternationalLtd. 51,390 - 100.0 - GSAofairlinesRogersAviationKenyaLtd 396 - 100.0 - GSAofairlinesRogersAviationMadagascarS.A.R.L. 1,910 - 100.0 - GSAofairlinesRogersAviation(Mauritius)Ltd 2,525 - 100.0 - GSAofairlinesRogersAviationMayotteS.A.R.L. 490 - 100.0 - GSAofairlinesRogersAviationMozambiqueLimitada 54 - 100.0 - GSAofairlinesRogersAviationReunion 20,001 - 100.0 - GSAofairlinesRogersAviationSenegalS.A.R.L. - - 100.0 - GSAofairlines/Travel/TouroperatorRogersAviationSouthAfrica(Pty)Ltd 524 - 100.0 - GSAofairlinesTranscontinentS.A.R.L. 617 - 66.6 33.4 TravelAgencyTraveliaS.A.R.L 473 - 80.5 19.5 OnlinetouroperatingYachtManagementLtd 10 - 51.1 61.4 Boatcruises

FINANCIAL SERVICESAcornInternationalLimited - - 100.0 57.4 GlobalbusinessCityExecutivesLimited 50 - 100.0 57.4 GlobalbusinessDenningLtd - - 100.0 57.4 Globalbusiness*KrossBorderAccountingServicesLtd - - 100.0 58.0 Globalbusiness*KrossBorderBusinessServicesLtd - - 100.0 58.0 GlobalbusinessKrossBorderCorporateServicesLtd 782 - 70.0 57.4 GlobalbusinessKrossBorderCorporateServices(Singapore)PteLtd 238 - 70.0 58.0 Globalbusiness




(b) Thefinancialstatementsofthefollowingsubsidiarieshavebeenincludedintheconsolidatedfinancialstatements(contd).




Rs 000 % % %

FINANCIAL SERVICES (CONTD)KrossBorderFinancialServicesLtd 527 - 100.0 57.4 GlobalbusinessKrossBorderFinancialServices-NomineeLtd - - 100.0 57.4 GlobalbusinessKrossBorderHoldingsLimited - - 100.0 57.4 GlobalbusinessKrossBorderInsuranceServicesLtd 2,215 - 100.0 58.0 GlobalbusinessKrossBorderSpecialistServicesLtd 100 - 70.0 58.0 Globalbusiness*RiverCourtAdministratorsLimited 600 - 100.0 57.4 Globalbusiness*RiverCourtNomineesLimited 100 - 100.0 57.4 Globalbusiness*RiverCourtTrusteesLimited 1,400 - 100.0 57.4 GlobalbusinessRogersAssetManagementLtd 8,000 - 100.0 40.0 AssetManagementRogersCapitalLtd 140,707 60.0 - 40.0 InvestmentRogersWealthManagementLtd 601 - 100.0 40.0 InvestmentTablaLtd - - 100.0 57.4 Globalbusiness

HOTELSAdnarevLtd 76,464 - 100.0 24.0 HotelHeritageGolfClubLtd 310,350 - 100.0 36.9 GolfCourseHeritageEventsCompanyLtd 100 - 100.0 24.0 InvestmentSevenColoursSpaLtd 20,025 - 100.0 24.0 ManagementServicesSociétéDowJones 3,617 - 100.0 24.0 PropertySociétéZoneFinance 14,000 - 100.0 24.0 PropertyVLHHoldingLtd 437,265 76.0 - 24.0 PropertyVLHLtd 555,276 - 100.0 24.0 HotelVLHTrainingLtd 1,015 - 100.0 24.0 ManagementServices

LOGISTICS AssociatedContainerServicesLtd 18,301 - 100.0 33.3 PortRelatedServicesCargoExpressMadagascarS.A.R.L. 168 - 100.0 33.8 FreightForwardingVelogicHaulageServicesLtd 975 - 80.0 46.6 TransportServicesFOMWarehouseLtd 100 45.7 54.3 17.0 PortRelatedServicesFreeportOperations(Mtius)Ltd 133,447 - 100.0 34.7 PortRelatedServices*GeneralCargoServicesLimited 889 - 100.0 66.2 PortRelatedServices*Gencargo(Transport)Limited 1,422 - 80.0 73.0 TransportServicesLogisticsSolutionsLtd 360,483 1.4 98.6 33.3 InvestmentMTLLogisticsandDistributionCoLtd 1,688 - 100.0 33.8 TransportCompanyP.A.P.O.L.C.S.Ltd 100 - 80.0 68.2 StevedoringPapolHoldingLimited 100 - 60.0 60.3 Investment

ASSETS







Rs 000 % % %

LOGISTICS (CONTD)RogersInternationalDistributionServicesLimitada 63 - 100.0 33.8 FreightForwardingRogersInternationalDistributionServicesS.A. 7,678 - 100.0 33.8 FreightForwardingRogersInternationalDistributionServicesS.A.R.L. 8 - 100.0 33.8 FreightForwardingRogersLogisticsInternationalLtd 2,358 - 100.0 33.8 FreightForwardingRogersLogisticsServicesCompanyLtd 100 - 100.0 33.8 FreightForwardingRogersShippingLtd 721 - 100.0 54.5 FreightForwardingRogersShippingPteLtd 3 - 51.0 66.2 ShipppingAgencySociétéduPort 207,223 96.1 3.9 - InvestmentSouthernMarine&CoLtd 500 - 100.0 54.5 ShippingServicesSukpakLtd 1,200 - 70.0 53.6 PackingofspecialsugarsThermoilCompanyLtd 100 80.0 - 20.0 BitumenAgencyTransworldInternationalLtd 25 - 100.0 33.8 DormantVelogicDepotandWarehouseLtd 300 - 100.0 33.8 DormantVelogicGarageServicesLtd 50 - 100.0 46.6 TransportCompanyVelogicIndiaPrivateLtd 11,156 - 100.0 33.8 FreightForwardingVelogicHoldingCompanyLtd 1,019,294 66.2 - 33.8 InvestmentVelogicSeaFrigoR’FrigoS.A. 4,085 - 100.0 33.8 FreightForwardingVelogicLtd 83,985 - 100.0 33.8 ManagementServices*VKLogisticsLtd 163,814 - 51.0 66.2 Investment

PROPERTYAscenciaLimited 3,602,171 - 40.5 59.5 Property*BagapropLimited 1,252,101 - 85.0 65.6 PropertyForesitePropertyHoldingLtd 1,028,269 100.0 - - Property*GardensofBagatelleLtd 245,446 - 100.0 59.5 PropertyMotorTradersLtd 500 100.0 - - PropertySociétédelaCrécerelle 1 100.0 - - PropertySociétéduBengali 1 100.0 - - PropertySociétéduKatover 1 100.0 - - Property

REAL ESTATE AND AGRIBUSINESSCaseNoyaleLtée 7 1.3 52.3 62.7 InvestmentCie.SucrièredeBelOmbreLtd 33,300 1.2 52.3 62.7 AgricultureandInvestmentLeMarchéduMoulinLtd 1 - 100.0 77.6 RetailLesVillasdeBelOmbreLtée 291,135 - 60.0 77.6 ConstructionandSalesofVillaSouthWestTourismDevelopmentCo.Ltd 4,950 68.9 2.0 31.1 InvestmentVillasValricheResortsLtd 1 - 100.0 77.6 RentalPoolManagemnetCompany








Rs 000 % % %

TECHNOLOGYEnterpriseInformationSolutionsLtd 15,977 100.0 - - ITServicesEnterpriseInformationSystemsLtd(Kenya) - - 100.0 - ITServicesEISOutsourcingLtd 15,000 - 100.0 - ITServices

CORPORATE OFFICEFleetInvestmentSupplyandHusbandryLtd - - 100.0 - DormantRogersCorporateServicesLtd 1,201 100.0 - - Dormant

Note:Ordinarysharesareissuedfortheabovesubsidiariesandthestatutoryreportingdateis30.06.2016forthecompanies.

*NotConsolidatedin2015

ASSETS



(c) TheabovesubsidiariesareincorporatedandoperateinMauritiusexceptfor:

Country of incorporation / place of business

Ario(Seychelles)Ltd RepublicofSeychellesBSTravelManagementLimitada RepublicofMozambiqueBSTravelMayotte MayotteBEAVIAKenyaLimited RepublicofKenyaBlueSkyRéunionSAS RéunionIslandCargoExpressMadagascarS.A.R.L. RepublicofMalagasyEnterpriseInformationSystemsLtd(Kenya) RepublicofKenyaGencargo(Transport)Limited RepublicofKenyaGeneralCargoServicesLimited RepublicofKenyaGSAfricaAirlineServices(Pty)Ltd RepublicofSouthAfricaKrossBorderCorporateServices(Singapore)PteLtd RepublicofSingaporeRogersAviationComoresS.A.R.L. RepublicofComoresRogersAviationFranceS.A.R.L. RéunionIslandRogersAviationKenyaLtd RepublicofKenyaRogersAviationMadagascarS.A.R.L. RepublicofMalagasyRogersAviationMayotteS.A.R.L. MayotteRogersAviationMozambiqueLimitada RepublicofMozambiqueRogersAviationSenegalS.A.R.L. RepublicofSenegalRogersAviationSouthAfrica(Pty)Ltd RepublicofSouthAfricaRogersInternationalDistributionServicesLimitada RepublicofMozambiqueRogersInternationalDistributionServicesS.A. FrenchRepublicRogersInternationalDistributionServicesS.A.R.L. RepublicofMalagasyRogersShippingPteLtd RepublicofSingaporeSabreSouthAfricaLtd RepublicofSouthAfricaTranscontinentS.A.R.L. RepublicofMalagasyTraveliaS.A.R.L RéunionIslandVelogicIndiaPrivateLtd RepublicofIndiaVelogicSeaFrigoR’FrigoSA RéunionIsland

(d) ThefinancialstatementsofAscenciaLtdhavebeenconsolidatedat40.45%equityinterests:

ForesitePropertyHoldingLtd,asubsidiaryofRogersandCompanyLtd(‘Rogers’)andENLPropertyLtd(‘EPL’)haverespectivelyaneffectiveholdingof40.45%and28.61%inthesharecapitalofAscenciaLtd;

ENLLtdisthemajorityshareholderofbothRogersandEPL;

BothENLLtdandEPLherebyconfirmthattheBoardofAscenciaLtdwillsystematicallyhaveaminimumofhalfofitsBoardmembersnominatedbyRogerswhichshallalsohavethechairmanshipandacastingvote;

Futhermore,forallshareholdermattersconcerningAscenciaLtd,EPLshallvoteinthesamemannerasRogers.



14. INVESTMENT IN JOINTLY CONTROLLED ENTITIES AND ASSOCIATED COMPANIES

Accounting policy

Jointlycontrolledentitiesarejointarrangementswherebythepartiesthathavejointcontrolofthearrangementhaverightstothenetassetsandobligationsfortheliabilitiesofthejointarrangement.Itisthecontractuallyagreedsharingofcontrolofanarrangementwhichexistsonlywhendecisionsaboutrelevantactivitiesrequireunanimousconsentofthepartiessharingcontrol.

AssociatedcompaniesareentitiesoverwhichtheGrouphassignificantinfluencebutnotcontrol,orjointcontrol,generallyaccompanyingashareholdingbetween20%and50%ofthevotingrights.

Investmentsinjointlycontrolledentitiesandassociatedcompaniesareaccountedforusingtheequitymethod.Underthismethod,theinvestmentisinitiallyrecognisedatcostandthecarryingamountisincreasedordecreasedtorecognisetheGroup’sshareoftheprofitorlossofthejointlycontrolledentityandassociateafterthedateofacquisition.TheGroup’sshareofitsjointlycontrolledentityandassociate’spostacquisitionprofitsorlossesisrecognisedintheStatementofProfitorLossanditsshareofpostacquisitionmovementsinreservesinOtherComprehensiveIncome.

Goodwillarisingontheacquisitionofajointlycontrolledentityoranassociateisincludedwiththecarryingamountofthejointlycontrolledentityorassociateandtestedannuallyforimpairment.WhentheGroup’sshareoflossesexceedsthecarryingamountoftheinvestment,thelatterisreportedatnilvalue.RecognitionoftheGroup’sshareoflossesisdiscontinuedexcepttotheextentoftheGroup’slegalandconstructiveobligationscontractedonbehalfofthejointlycontrolledentityorassociate.Ifthejointlycontrolledentityorassociatesubsequentlyreportsprofits,theGroupresumesrecognisingitsshareofthoseprofitsafteraccountingforitsshareofunrecognisedpastlosses.UnrealisedprofitsandlossesareeliminatedtotheextentoftheGroup’sinterestinthejointlycontrolledentityorassociate.

Iftheownershipinterestinanassociatedcompanyisreducedbutsignificantinfluenceisretained,onlyaproportionateshareoftheamountspreviouslyrecognisedinothercomprehensiveincomearereclassifiedtoprofitorlosswhereappropriate.Dilutionofgainsandlossesarisingininvestmentsinassociatesarerecognisedinprofitorloss.

TheGroupdiscontinuestheuseoftheequitymethodfromthedatewhenitceasestohavesignificantinfluenceandtheinvestmentwillthenbemeasuredatfairvalue.TheGrouprecognisesintheStatementofProfitorLossthedifferencebetweenthefairvalueofretainedinvestmentincludinganyproceedsfromdisposalandthecarryingamountoftheinvestmentatthedatewhensignificantinfluenceislost.

IntheseparatefinancialstatementsoftheCompany,investmentsinjointlycontrolledentitiesandassociatedcompaniesarecarriedatcost.Thecarryingamountisreducedtorecogniseanyimpairmentinthevalueofindividualinvestments.


Significant judgementsandassumptionsaremade indeterminingwhetheranentityhas jointcontrolorsignificant influenceoveranotherentityandthetypeof jointarrangement.Inconsideringtheclassificationmanagementconsiderswhethercontrolexists,thenatureandstructureoftherelationshipandotherfactsandcircumstances.

ASSETS


14. INVESTMENT IN JOINTLY CONTROLLED ENTITIES AND ASSOCIATED COMPANIES (CONTD)

GROUP


Investment in jointly controlled entities

(a) Costofinvestmentinjointlycontrolledentities 193.9 1,195.6

Shareofreserves (58.4) 622.8

Carrying amount of the Group’s interests in jointly controlled entities 135.5 1,818.4

(b) Movementofshareofnetassets:

At01July 1,818.4 1,397.5

Additions 120.8 34.3

Transfertoinvestmentinsubsidiarycompanies (1,676.6) -

Disposal (71.6) (0.4)

Shareofprofitfortheyear:

Attributabletoincreaseinfairvalueofinvestmentproperty - 324.0

Netoperating(loss)profit (49.7) 59.3

Shareofothercomprehensiveincomefortheyear (0.6) 3.7

Dividends (5.2) -

At 30 June 135.5 1,818.4




(c) At30June2015,theGroupheld50.1%inBagapropLimited.InJuly2015,theGroupacquiredanadditionalholdingof34.9%,increasingtheGroup’sholdinginBagapropLimitedto85%.BagapropLimitedishenceconsolidatedasasubsidiarycompany.

SummarisedfinancialinformationforBagapropLimited,amajorjointlycontrolledentity,issetoutbelow:

GROUP


StatementofProfitorLossandOtherComprehensiveIncome

Revenue - 521.8

Profitfortheyear - 758.5

OtherComprehensiveIncomefortheyear - (0.8)

Total comprehensive income for the year - 757.7

Shareofprofit - 380.0

Shareofothercomprehensiveincome - (0.4)

Share of total comprehensive income - 379.6

Theaboveprofitfortheyearincludethefollowing:

Depreciation - 1.7

Interest income - 4.3

Interest expense - 161.6

Income tax expense - 22.3

Reconciliationoftheabovesummarisedfinancialinformationtothecarryingamountoftheinterestinthejointlycontrolledentityrecognisedinthefinancialstatements:

Costofinvestment - 1,051.4

Shareofreserves - 582.4

- 1,633.8

Excessoffairvalueoftheshareofnetassetsovervalueofsharesissued - 42.6

Carrying amount of the Group’s interest in the jointly controlled entity - 1,676.4

StatementofFinancialPosition

Noncurrentassets - 5,469.6

Currentassets - 127.0

Total assets - 5,596.6

Capitalandreserves - 3,346.9

Non-currentliabilities - 2,077.9

Currentliabilities - 171.8

Total equity and liabilities - 5,596.6

Theaboveamountsofassetsandliabilitiesincludethefollowing:

Cash and cash equivalents - 61.6

Current financial liabilities (excluding trade and other payables and provisions) - 76.1

Non-current financial liabilities (excluding trade and other payables and provisions) - 2,031.3

ASSETS



(d) Summarisedfinancialinformationforotherjointlycontrolledentitiesissetoutbelow:

GROUP


(Loss)profitfortheyear (99.8) 6.5

OtherComprehensiveIncomefortheyear 2.2 8.2

Total comprehensive income for the year (97.6) 14.7

Shareof(loss)profitfortheyear (49.7) 3.3

ShareofotherComprehensiveIncomefortheyear (0.6) 4.1

Share of total comprehensive income for the year (50.3) 7.4

Carrying amount of the Group’s interest in the other jointly controlled entities 135.5 142.0

(e) GROUP CountryofIncorporation/

Statutory %DirectHolding

InRsmillion placeofbusiness reportingyear 2016 2015 PrincipalActivity

AxaCustomerServicesLtd Mauritius 31.12.15 50.0 50.0 Businessprocessoutsourcing

FlorealCommercialCentreLtd Mauritius 30.09.15 50.0 - PropertyJacotetBayLtd Mauritius 30.06.16 50.0 50.0 Property

Theabovejointlycontrolledentitiesareprivatecompaniesandthereisnoquotedmarketpriceavailablefortheirshares.

Fortheassociatedcompanieshavingdifferentreportingdate,managementaccountshavebeenpreparedat30June2016.

(f) InOctober2015andDecember2015,theGroupdisposedofthe50%interestinR’FrigoLtdand50%interestinEdithCavellPropertiesLtdrespectively.Thistransactionhasresultedintherecognitionofagaininprofitorloss,calculatedasfollows:

GROUP


Proceedsofdisposal 74.4 -Lesscarryingvalueofinvestmentonthedateoflossonsignificantinfluence (72.4) -

Gains recognised in the Statement of Profit or Loss 2.0 -

(g) COMPANY


At1July 101.8 96.2Disposals (69.5) -Reversal 0.9 5.6At 30 June 33.2 101.8




GROUP


Investment in associated companies

(h) Costofinvestmentinassociatedcompanies 3,507.9 2,953.0

Shareofreserves 1,309.5 1,399.1

Carrying amount of the Group’s interest in associated companies 4,817.4 4,352.1

(i) Movementofshareofnetassets:

At01July 4,352.1 4,088.1


Shareofprofitfortheyear 88.0 238.0

Shareofothercomprehensiveincomefortheyear (32.9) (44.2)

Dividends (107.5) (88.3)

Excessoffairvalueofshareofnetassetsoverquotedprice 50.2 -

Movementinreserves(seenote) - 104.3

Deconsolidationadjustments (87.3) (9.0)

At 30 June 4,817.4 4,352.1

Note:Theamountin2015relatestothesurplusonrevaluationofitslifepolicyfundbySwanLifeLtdandtransferredtotheProprietor’sFundasanon-distributablereserves.

(j) SummarisedfinancialinformationinrespectoftheGroup’smajorassociatedcompaniesissetoutbelow:

GROUP Yearended30June2016

InRsmillion NMH Swan


Revenue 9,810.6 6,251.5(Loss)profitfortheyear (45.3) 238.2OtherComprehensiveIncomefortheyear 40.1 (168.9)

Total Comprehensive Income for the year (5.2) 69.3Shareof(loss)profit (56.7) 69.5Shareofothercomprehensiveincome 54.2 (74.9)

Share of total comprehensive income (2.5) (5.4)

StatementofFinancialPositionNoncurrentassets 28.0 35.0Currentassets 8.9 3.0Total assets 36.9 38.0Capitalandreserves 13.7 2.7Non-currentliabilities 14.9 34.9Currentliabilities 8.3 0.4

Total equity and liabilities 36.9 38.0

Carrying amount of the Group’s interest in the associated companies 2,637.9 1,346.6

ASSETS



GROUP Yearended30June2015

InRsmillion NMH Swan


Revenue 9,578.7 4,884.2

Profitfortheyear 508.7 260.4

OtherComprehensiveIncomefortheyear (196.0) 238.0

Total Comprehensive Income for the year 312.7 498.4

Shareofprofit 96.8 52.3

ShareofOtherComprehensiveIncome (78.9) 48.7

Share of Total Comprehensive Income 17.9 101.0

StatementofFinancialPosition

Noncurrentassets 28,367.2 34,202.3

Currentassets 8,099.7 2,846.9

Total assets 36,466.9 37,049.2

Capitalandreserves 13,948.4 2,814.6

Non-currentliabilities 10,550.2 33,821.8

Currentliabilities 11,968.3 412.8

Total equity and liabilities 36,466.9 37,049.2

Carrying amount of the Group’s interest in the associated companies 2,442.5 1,376.8

(k) Summarisedfinancialinformationforimmaterialassociatedcompaniesissetoutbelow:

GROUP


Profitfortheyear 280.3 166.3

OtherComprehensiveIncomefortheyear (44.3) (53.1)

Total comprehensive income for the year 236.0 113.2

Carrying amount of the Group’s interest in the immaterial associated companies 832.9 532.8

(l) COMPANY


At1July 2,838.0 2,776.6


Disposals - (0.1)

At30June 3,131.2 2,838.0




Thefollowingassociatedcompanieshavebeenincludedintheconsolidatedfinancialstatements:

CountryofIncorporation/

Statutory

%ofeffectiveholding

Placeofbusiness reportingyear 2016 2015 Principalactivity

**AirCargoServiceMadagascarLtd Madagascar 31.12.15 50.0 - Groundhandlingservices**Bioculture(Mauritius)Ltd Mauritius 30.06.16 16.4 - BreedingandexportofprimatesBlueConnectLtd Mauritius 30.09.15 30.0 30.0 BusinessprocessoutsourcingBlueFrogLimited Mauritius 30.06.16 27.3 27.3 ProcurementManagementEnattLtd Mauritius 30.06.16 21.3 21.3 PropertyManagementcompany*ESPLandscapers Mauritius 30.06.16 7.5 7.5 Landscapingservices*EspralCoLtd Mauritius 30.06.16 7.5 7.5 PropertydevelopmentFPHLInfraLtd Mauritius 30.06.16 49.0 49.0 InvestmentLagoonaCruiseLtd Mauritius 30.06.16 33.3 33.3 BoatCruisesactivitiesIslandBulkCarriersPteLtd Singapore 31.12.15 11.9 11.9 Shippingactivities**MallofMauritiusatBagatelleLtd Mauritius 30.06.16 25.0 - PropertyLeMorneDevelopmentCorporationLtd Mauritius 30.09.15 20.0 20.0 PropertyMauritianCoalandAlliedServicesCompanyLtd Mauritius 30.09.15 25.6 25.6 CoalsupplierMautourcoLtd Mauritius 30.09.15 49.0 49.0 VehiclerentalandtoursMozambiqueAirportHandlingServicesLimitada Mozambique 30.09.15 29.0 29.0 GroundhandlingservicesNewMauritiusHotelsLimited Mauritius 30.09.15 19.3 17.7 HotelsRelianceFacilitiesLtd Mauritius 30.06.16 49.0 49.0 SecurityservicesRelianceSecurityServicesLtd Mauritius 30.06.16 49.0 49.0 SecurityservicesRelianceSystemsLtd Mauritius 30.06.16 49.0 49.0 Securityservices*SainteMarieCrushingPlantLtd Mauritius 30.06.16 8.8 8.8 ManufactureandSaleofBuilding

materialsSociétéGrandeCastagnole Mauritius 30.09.15 49.0 49.0 InvestmentSociétéPurBlanca Mauritius 30.09.15 49.0 49.0 InvestmentSwanFinancialSolutionsLtd Mauritius 31.12.15 20.0 20.0 InsuranceSwanGeneralLtd Mauritius 31.12.15 28.8 28.8 InsuranceWhitePalmLtd Mauritius 30.09.15 49.0 49.0 Vehiclerentalandtours

Alltheaboveassociatesareaccountedforusingtheequitymethod.

RogersandCompanyLtdholdsdirectly19.3%interestsinNMHanditsparentcompanyownsdirectly10.6%.BothcompaniesexercisesignificantinfluenceovertheaffairsofNMH.Asaconsequence,RCLreportsits19.3%interestasanassociatedespitethefactthattheGroup’sownershipislessthan20%.

Asat30June2016,thefairvalueoftheGroupinterestinNewMauritiusHotelLimitedandSwanGeneralLtdwhicharelistedontheStockExchangeofMauritiuswereRs1,884.2mandRs723.1mrespectively(2015Rs1,751.7mandRs859.2mrespectively)basedonthequotedmarketpriceavailable,whichisalevel1inputintermsofIFRS13.

*Significantinfluenceobtainedthroughsubsidiaries

**Associateconsolidatedin2016

ASSETS


15. INVESTMENT IN FINANCIAL ASSETS

Accounting policy

Classification

TheGroupclassifiesitsfinancialassetsinthefollowingcategories:atfairvaluethroughprofitorloss,loansandreceivablesoriginatedbytheenterprisesandtheclassificationdependsonthepurposeofthefinancialasset.

•Available-for-saleinvestments

Available-for-saleassetsarenon-derivativeinvestmentsandotherassetsthatareeitherdesignatedinthiscategoryornotclassifiedinanyoftheothercategories.Available-for-saleassetsareincludedinnon-currentassetsunlessmanagementintendstodisposeofthemwithin12monthsoftheperiod-enddate.

•Loansandreceivablesoriginatedbytheenterprise

Loansandreceivablesarenon-derivativefinancialassetswithfixedordeterminablepaymentsthatarenotquotedinanactivemarket.TheyarisewhentheGroupprovidesmoney,goodsorservicesdirectlytoadebtorwithnointentionoftradingthereceivable.Theyareincludedincurrentassets,exceptformaturitiesgreaterthan12monthsaftertheperiod-enddatewheretheseareclassifiedasnon-currentassets.

Recognitionandmeasurement

Purchasesandsalesoffinancialassetsarerecognisedontheirtradedate,whichisthedatewhentheGroupcontractswiththepurchaserorseller.Financialassetsareinitiallyrecognisedatcost.Transactioncostsareincludedforallfinancialinstrumentsnotcarriedatfairvaluethroughprofitorloss.FinancialassetsarederecognisedwhentherightstoreceivecashhaveexpiredorhavebeentransferredandtheGrouphastransferredsubstantiallyallrisksandrewards.

Financialassetsclassifiedasavailable-for-salearesubsequentlycarriedatfairvalue.Unrealisedgainsandlossesarisingfromchangesinthefairvaluearerecognisedinothercomprehensiveincome.Whenavailable-for-saleassetsaresoldorimpaired,theaccumulatedfairvalueadjustmentsareincludedinthestatementofprofitorlossasgainsandlossesfrominvestments.

Financialinstrumentsclassifiedasloansandreceivablesandamortisedcostaresubsequentlymeasuredusingtheeffectiveinterestmethod.

TheGroupassessesateachperiod-enddatewhetherthereisobjectiveevidencethatafinancialassetisimpaired.Afinancialassetisimpairedandimpairmentlossesarerecognisedonlyifthereisobjectiveevidenceofimpairmentasaresultofoneormoreeventsthatoccurredaftertheinitialrecognitionoftheassetandthateventhasanimpactontheestimatedfuturecashflowsofthefinancialassetthatcanbereliablymeasured.

Level1financialassetsarethosewithunadjustedquotedpricesinactivemarketsforidenticalinvestments.

Level2financialassetsincludequotedpricesforsimilarinvestmentsinactivemarkets,quotedpricesforidenticalorsimilarassetsinmarketsthatarenotactive,inputsotherthanquotedpricesthatareobservablefortheasset(ie,interestratesoryields)andinputsthatarederivedfromorcorroboratedbyobservablemarketdata.

Level3includesunobservableinputsthatreflectdirectorsassumptionsaboutwhatfactorsmarketparticipantswoulduseinpricingsuchinvestments.TheseinputsarebasedonthebestinformationavailableincludingtheGroup’sowninformation.



15. INVESTMENT IN FINANCIAL ASSETS (CONTD)

(a) GROUP 2016 2015

InRsmillion Level1 Level3 Total Total

Non-current

Available-for-saleinvestments

At1July 61.8 180.8 242.6 345.9

Additions 333.2 - 333.2 15.2

Disposals - (1.2) (1.2) (30.7)

Changeinfairvalue 23.6 28.8 52.4 (87.8)

At 30 June 418.6 208.4 627.0 242.6

Current

Loansandreceivablesoriginatedbytheenterprise

At1July - 200.0 200.0 67.2

Loansgranted - - - 200.0

Loansrepaid - (200.0) (200.0) (67.2)

At 30 June - - - 200.0

Total investment in financial assets 418.6 208.4 627.0 442.6

(b) COMPANY 2016 2015

InRsmillion Level1 Level3 Total Total

Non-current

Availableforsaleinvestments

At1July 58.5 170.2 228.7 314.5

Additions 333.1 - 333.1 1.5

Changeinfairvalue 22.6 28.8 51.4 (87.3)

At 30 June 414.2 199.0 613.2 228.7

Current

Loansandreceivablesoriginatedbytheenterprise

At1July - 200.0 200.0 67.2

Loansgranted - - - 200.0

Loansrepaid - (200.0) (200.0) (67.2)

At 30 June - - - 200.0

Total investment in financial assets 414.2 199.0 613.2 428.7

ASSETS


16. BIOLOGICAL ASSETS

Accounting policy

Bearerbiologicalassetscompriseofcanereplantationcostsandanthuriumplants.Canereplantationcostsarecapitalisedandamortisedoveraperiodofsevenyears,oneyearaftertheexpenseshavebeenincurred.Anthuriumplantsarevaluedatcostlessamortisation.

Consumablebiologicalassetsarestatedattheirfairvalueslesscoststosellandrelatetothevalueofstandingcrop,deerfarmingandpalmtrees.


Bearerbiologicalassetshavebeenestimatedbasedonthecostoflandpreparationandplantingcostsofbearercanesandanthuriumplants.

Consumablebiologicalassetsarestatedattheirfairvalueslesscoststosellandrelatetothevalueofstandingcrop,deerfarmingandpalmtrees.Thefairvalueofconsumablebiologicalassetshasbeenarrivedatbydiscountingthepresentvalueofexpectednetcashflowsfromstandingcanesattherelevantmarketdeterminedpre-taxrate.

Theexpectedcashflowshavebeencomputedbyestimatingtheexpectedcropandthesugarextractionrateandtheforecastsofsugarpriceswhichwillprevailinthecomingyear.Theharvestingcostsandotherdirectexpensesarebasedontheyearlybudgets.

ThefairvaluemeasurementsforstandingcaneshavebeencategorisedasLevel3fairvaluesbasedontheinputstothevaluationtechniquesused.

GROUP


BearerBiologicalAssets

Cost

At1July 80.0 83.7

Expenditureduringtheyear 2.9 4.9

Disposals - (8.6)

At 30 June 82.9 80.0

Amortisation

At1July 61.4 66.6

Chargefortheyear 2.7 3.4

Disposaladjustments - (8.6)

At 30 June 64.1 61.4

Carrying valueAt 30 June 18.8 18.6

Consumable Biological Assets 90.7 96.5

At30June2016,standingcanescomprisedapproximately601hectaresofcaneplantations(2015:541hectares).

Duringtheyear,theGroupharvestedapproximately44,350tonnesofcanes(2015:45,236tonnesofcanes).



17. NON-CURRENT RECEIVABLE

Accounting policy

Loansandreceivablesarenon-derivativefinancialassetswithfixedordeterminablepaymentsthatarenotnotquotedinanactivemarket.Theyarerecognisedinitiallyatfairvalueplusanydirectlyattributabletransactioncosts.Subsequenttoinitialrecognition,loansandreceivablesaremeasuredatamortisedcostusingtheeffectiveinterestmethod,lessanyimpairment.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Loanreceivablefromsubsidiarycompanies - - 987.1 1,005.2

Loanreceivablefromothercompanies 84.7 137.5 28.2 81.6

Total non-current receivable 84.7 137.5 1,015.3 1,086.8

Thecarryingamountoflongtermloansreceivableapproximatetheirfairvalues,areunsecuredandarerepayablebyinstalmentsaftermorethanoneyear.

ASSETS


18. DEFERRED EXPENDITURE

Accounting policy

VoluntaryRetirementScheme(VRS)

VRScosts(netofreceiptsfromSugarReformTrust),togetherwiththecostsoflandandprovisionforinfrastructurecostshavebeencapitalisedandamortisedoveramaximumperiodoffiveyears.AnyprofitrealisedonsaleoflandunderVRSiscreditedtothedeferredexpenditureaccountuptothetotalstandingonthisaccount.AnysurplusiscreditedtotheStatementofProfitorLoss.

PremiumonLeaseholdLand

PremiumpaidonleaseholdlandisaccountedforasdeferredexpenditureandisdebitedtotheStatementofProfitorLossoverthenumberofyearsremainingonthoseleases.

Others

Inordertomatchcostandrevenueofprovidingservicesovertheperiodofthecontract,certainexpenditurerelatedtheretoisdeferred.Professionalfeesareincludedinotherdeferredexpenditureandwillbereleasedoverthecontractperiod.

GROUP SugarIndustryVoluntary

RetirementScheme

Premiumonleasehold

land Others TotalInRsmillion

Cost

At1July2015 50.4 29.9 190.3 270.6

Exchangedifferences - - 2.1 2.1

Transfers - - 58.9 58.9At 30 June 2016 50.4 29.9 251.3 331.6

Amortisation

At1July2015 50.4 9.8 113.4 173.6

Chargefortheyear - 0.2 - 0.2

Exchangedifferences - - 0.7 0.7

Transfers - 0.8 6.1 6.9At 30 June 2016 50.4 10.8 120.2 181.4

Carrying value

At 30 June 2016 - 19.1 131.1 150.2

At 30 June 2015 - 20.1 76.9 97.0


20. TRADE AND OTHER RECEIVABLES

Accounting policy

Tradereceivablesarerecognisedinitiallyatfairvalueandsubsequentlymeasuredatamortisedcost,lessprovisionforimpairment.

TheGrouphasanestablishedcreditpolicyunderwhichnewcustomersareanalysedindividuallyforcreditworthinessforeachbusinessactivitybeforetheGroup’sstandardpayment,deliverytermsandconditionsareoffered.CustomersthatfailtomeettheGroup’sbenchmarkcreditworthinessmaytransactwiththeGroupuponlodgingofaBankGuaranteeasasecuritydocumentoronastrictlypre-paid(clearedfunds)onlybasis.

Collectabilityoftradereceivablesisreviewedonanongoingbasis.Debtswhichareknowntobeuncollectiblearewritten-off.AnimpairmentprovisionforreceivablesisestablishedwhenthereisobjectiveevidencethattheGroupwillnotbeabletocollectallamountsdueaccordingtotheoriginaltermsofreceivable.Theamountoftheprovisionisrecognisedinprofitorloss.

Otherdebtorsarereviewedonanongoingbasisandarewrittendowntotheirrecoverableamountwhenthisamountisinexcessoftheircarryingvalue.


19. INVENTORIES

Accounting policy

Inventoriesarevaluedatlowerofcostandnetrealisablevalue.

Costisdeterminedattheweightedaveragemethod.Thecostoffinishedgoodsandworkinprogresscomprisesrawmaterials,directlabour,otherdirectcostsandrelatedproductionoverheads,butexcludesinterestexpenses.

Netrealisablevalueistheestimateofthesellingpriceintheordinarycourseofbusiness,lessthecostsofcompletionandsellingexpenses.

GROUP


RawMaterialsandconsumables 86.5 49.0

Goodsforresale 194.3 135.5

Workinprogress 8.1 27.5

Total inventories 288.9 212.0

Carrying value of inventories pledged 288.9 212.0

Valueofinventoriesatcost 288.9 212.0

WorkinprogressrelatesmainlytocostsincurredtodateontheconstructionofvillasinLesVillasdeBelOmbreLtée.

ASSETS


20. TRADE AND OTHER RECEIVABLES (CONTD)

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Tradereceivables 1,878.1 1,515.5 7.5 4.2

Lessimpairment (197.1) (109.0) (3.6) (3.8)

Carrying value of trade receivables 1,681.0 1,406.5 3.9 0.4

Prepayments 120.8 92.2 1.5 2.0

Receivablefromassociatedcompanies 19.5 22.4 3.8 2.1

Otherreceivables 1,285.1 776.1 113.9 11.6

Total trade and other receivables 3,106.4 2,297.2 123.1 16.1

Thecarryingamountofthereceivablesisconsideredasareasonableapproximationoffairvalue.Ageingoftradereceivables

Lessthan3months 1,559.8 1,283.3 3.9 -

Impairment - - - -

Carrying value of trade receivables less than 3 months 1,559.8 1,283.3 3.9 -

Morethan3months 85.1 66.8 - 0.4

Impairment (5.1) - - -

Carrying value of trade receivables more than 3 months 80.0 66.8 - 0.4

Morethan6months 233.2 165.4 3.6 3.8

Impairment (192.0) (109.0) (3.6) (3.8)

Carrying value of trade receivables more than 6 months 41.2 56.4 - -

Carrying value of trade receivables 1,681.0 1,406.5 3.9 0.4

Impairmentoftradereceivables

At1July (109.0) (108.3) (3.8) (3.8)

Provisionmadeduringtheyear (42.5) (6.6) - -

Writtenoffduringtheyear (32.0) - - -

Releaseofprovision 26.9 - 0.2 -

Acquisitionofsubsidiaries (40.5) - - -

Deconsolidationofgroupcompanies - 5.9 - -

At 30 June (197.1) (109.0) (3.6) (3.8)

21. AMOUNTS RECEIVABLE FROM GROUP COMPANIES

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Subsidiary companies - - 395.9 636.4



22. SHARE CAPITAL AND RESERVES

Accounting policy

ShareCapital

Ordinarysharesareclassifiedasequity. Incrementalcostsdirectlyattributabletotheissueofnewsharesareshowninequityasdeduction,netoftax,fromproceeds.WheretheCompanypurchasesitsequitysharecapital(treasuryshares),theconsiderationpaid,includinganydirectlyattributableincrementalcosts(netofincometaxes)isdeductedfromequityattributabletotheCompany’sequityholdersuntil thesharesarecancelledor reissued.Whensuchsharesaresubsequently reissued,anynetconsiderationreceived,isincludedinequityattributabletotheCompany’sequityholders.

Capitalreserves

Thecapitalreservesincludemovementinreservesresultingfromstatutoryobligations

Revaluationreserves

Therevaluationreservescomprisethecumulativenetchangeinthefairvalueofavailable-for-salefinancialassetsuntiltheassetsarederecognisedorimpairedandthegains/lossesarisingonrevaluationofproperties.

Translationreserves

Theforeigncurrencytranslationreservesrecordtheforeigncurrencydifferencesarisingfromthetranslationofthefinancialstatementsofforeignoperations.Theeffectiveportionofthecumulativenetchangeinfairvalueofhedginginstrumentsrelatedtocashflowhedgedtransactionsthathavenotyetoccurredarerecordedintranslationreserves.

COMPANY IssuedandFullyPaid


Authorised

At 30 June 1,260.2 1,260.2

Issuedandfullypaid

At1July 1,260.2 252.0

Issueofbonusshares(201,636,240ordinarysharesofnoparvalue) - 1,008.2

At 30 June 1,260.2 1,260.2

AtaspecialmeetingoftheCompanyheldon01December2014,theshareholdersapprovedthat:

(a) eachordinarysharebesplitintotwo;

(b) asumofRs1,008,181,200representingthecapitalreservesandpartoftheretainedearningsoftheCompany,becapitalisedandusedforthedistribution,bywayofabonusissueof201,636,240ordinaryshares,freeofchargeandrankingparipassuwiththeexistingsharesoftheCompany;

(c) theBonussharesbeallottedanddistributedintheproportionoffournewordinarysharesforeveryoneordinaryshare;

(d) followingtheShareSplitandtheBonusIssue,thesharecapitaloftheCompanyshallamounttoRs1,260,226,500madeupof252,045,300ordinaryshares.


CAPITAL STRUCTURE

23. NON-CONTROLLING INTERESTS

Accounting policy

Onanacquisition-by-acquisitionbasis,theGrouprecognisesanynon-controllinginterestintheacquireeeitheratfairvalueoratthenon-controllinginterest’sproportionateshareoftheacquiree’snetassets.Subsequenttoacquisition,thecarryingamountofnon-controllinginterestsistheamountofthoseinterestsatinitialrecognitionplusthenon-controllinginterest’sshareofsubsequentchangesinequity.Totalcomprehensiveincomeisattributedtonon-controllinginterestsevenifthisresultsinthenon-controllinginterestshavingadeficitbalance.

TheGroupaccountsfortransactionswithnon-controllinginterestsastransactionswithequityownersoftheGroup.Forpurchasesfromnon-controllinginterests,thedifferencebetweenanyconsiderationpaidandtherelevantshareofthecarryingvalueofthenetassetsofthesubsidiaryacquiredisrecordedinequity.Gainsorlossesondisposalstonon-controllinginterestsarealsorecordedinequity.

(a) SubstantialNon-ControllingInterests(NCI)arein:

GROUP 2016 2015

Nameofentity Segment NCI%holding

RogersCapitalLtd(RC)FinancialServices

40.00% 40.00%

VLHHoldingLtd(VLH) Hotels 23.99% 23.99%

LogisticsHoldingCoLtd(LHL) Logistics 33.77% 33.33%

AscenciaLtd(Ascencia) Property 59.55% 57.73%

CieSucrièredeBelOmbreLtd(CSBO)RealEstate&Agribusiness

62.74% 62.74%



23. NON-CONTROLLING INTERESTS (CONTD)

(b) Summarisedfinancialinformationbeforeintra-groupelimination:

GROUP

InRsmillion RC VLH LHL Ascencia CSBO

30 June 2016

StatementsofProfitorLossandOtherComprehensiveIncome

Revenue 354.2 2,240.4 3,824.4 1,174.8 724.0

Profit(loss)fortheyear 36.5 177.2 99.9 713.5 (79.3)

Othercomprehensiveincomefortheyear 0.5 9.4 (3.3) - 13.3

Total comprehensive income for the year 37.0 186.6 96.6 713.5 (66.0)

Profit(loss)attributabletoNCI 25.1 45.0 50.5 417.8 (57.6)

OthercomprehensiveincomeattributabletoNCI 0.3 2.3 (0.9) - 10.3

Total comprehensive income attributable to NCI 25.4 47.3 49.6 417.8 (47.3)

Dividends paid to NCI 27.0 18.5 27.9 82.4 35.6

Noncurrentassets 385.0 5,489.7 3,252.7 12,777.0 5,092.7

Currentassets 188.0 3,518.8 1,971.9 593.0 615.4

Noncurrentliabilities 158.4 988.0 1,125.6 4,401.6 409.7

Currentliabilities 231.6 3,598.1 1,517.8 667.7 675.7

Accumulated NCI (78.9) 660.9 365.7 1,168.5 2,173.2

StatementsofCashFlows

Netcashflowfrom(usedin)operatingactivities 100.8 368.0 50.1 363.8 (80.8)

Netcashflowusedininvestingactivities (2.3) (312.3) (472.7) (1,867.8) (25.8)

Netcashflow(usedin)fromfinancingactivities (69.8) (66.3) 509.9 1,647.0 (65.3)

Net increase (decrease) in cash and cash equivalents 28.7 (10.6) 87.3 143.0 (171.9)

CAPITAL STRUCTURE


23. NON-CONTROLLING INTERESTS (CONTD)

(b) Summarisedfinancialinformationbeforeintra-groupelimination(contd):

GROUP

InRsmillion RC VLH LHL Ascencia CSBO

30 June 2015

StatementsofProfitorLossandOtherComprehensiveIncome

Revenue 156.5 1,860.0 3,406.2 417.6 1,124.6

Profitfortheyear 29.9 75.6 70.0 528.4 161.7

Othercomprehensiveincomefortheyear - 0.8 4.7 - 88.0

Total comprehensive income for the year 29.9 76.4 74.7 528.4 249.7

ProfitattributabletoNCI 19.5 19.7 35.0 300.3 130.5

OthercomprehensiveincomeattributabletoNCI - 0.2 3.2 - 69.6

Total comprehensive income attributable to NCI 19.5 19.9 38.2 300.3 200.1

Dividends paid to NCI 4.6 4.0 23.0 43.9 36.5

StatementsofFinancialPosition

Noncurrentassets 327.6 5,487.5 2,712.2 4,730.2 5,030.4

Currentassets 140.2 3,297.1 1,612.5 199.8 643.8

Noncurrentliabilities 7.9 1,254.8 747.4 1,040.1 359.8

Currentliabilities 373.1 3,222.0 1,342.1 267.9 556.0

Accumulated NCI (80.8) 632.1 315.4 2,091.0 2,173.2

StatementsofCashFlows

Netcashflowfromoperatingactivities 41.6 231.1 113.2 10.3 171.8

Netcashflow(usedin)frominvestingactivities (260.3) (1,204.4) (207.8) (12.3) 2.2

Netcashflowfrom(usedin)financingactivities 254.2 965.5 (2.8) 3.5 38.1

Net increase (decrease) in cash and cash equivalents 35.5 (7.8) (97.4) 1.5 212.1



24. CHANGES IN OWNERSHIP INTERESTS IN SUBSIDIARIES THAT DO NOT RESULT IN A LOSS OF CONTROL

DuringtheyeartheGroupeffectedthefollowingchangesinproportionofeffectiveownershipinterestsinsubsidiariesthatdonotresultinalossofcontrol.ThenetimpactofthesechangesinshareholdingresultedinanincreaseofRs6minretainedearningsandanincreaseofRs11minnon-controllinginterests.

Name of entity From % To %

AVIATIONResaplanetLtd 90.0 80.5TraveliaS.A.R.L 90.0 80.5FINANCIAL SERVICESAcornInternationalLimited 42.0 42.6CityExecutivesLimited 42.0 42.6DenningLtd 45.6 42.6KrossBorderCorporateServicesLtd 42.0 42.6KrossBorderFinancialServicesLtd 42.0 42.6KrossBorderFinancialServices-NomineeLtd 42.0 42.6KrossBorderHoldingsLimited 42.0 42.6TablaLtd 45.6 42.6LOGISTICS AssociatedContainerServicesLtd 65.7 66.7CargoExpressMadagascarS.A.R.L. 66.7 66.2VelogicHaulageServicesLtd 52.6 53.4FOMWarehouseLtd 49.7 83.0FreeportOperations(Mtius)Ltd 65.7 65.3LogisticsSolutionLtd 65.7 66.7MTLLogisticsandDistributionCoLtd 65.7 66.7P.A.P.O.L.C.S.Ltd 32.0 31.8PapolHoldingLimited 40.0 39.7RogersInternationalDistributionServicesLimitada 66.7 66.2RogersInternationalDistributionServicesS.A. 66.7 66.2RogersInternationalDistributionServicesS.A.R.L. 66.7 66.2RogersLogisticsInternationalLtd 66.7 66.2RogersLogisticsServicesCompanyLtd 66.7 66.2RogersShippingLtd 45.8 45.5RogersShippingPteLtd 34.0 33.8SociétéduPort 48.4 100.0SouthernMarine&CoLtd 45.8 45.5SukpakLtd 46.7 46.4TransworldInternationalLtd 66.7 66.2VelogicDepotandWarehouseLtd 66.7 66.2VelogicGarageServicesLtd 52.6 53.4VelogicIndiaPrivateLtd 66.7 66.2VelogicHoldingCompanyLtd 66.7 66.2VelogicSeaFrigoR’FrigoS.A. 66.7 66.2VelogicLtd 66.7 66.2PROPERTYAscenciaLimited 42.3 40.5BagapropLimited 34.6 34.4GardensofBagatelleLtd 40.8 40.5

CAPITAL STRUCTURE


25. DIVIDENDS

COMPANY


Declaredandpaid

InterimdividendofRs0.32perordinaryshare(2015:Rs0.30) 80.7 75.6

Declaredandpayable

FinaldividendofRs0.56perordinaryshare(2015:Rs0.54) 141.1 136.1

Total dividends 221.8 211.7

AfinaldividendofRs0.56persharewasdeclaredon21June2016andpaidon29July2016.AnamountofRs141.1mhasbeenincludedincurrentliabilitiesat30June2016.



26. BORROWINGS

Accounting policy

Borrowingsarerecognisedinitiallyatfairvalueandsubsequentlymeasuredatamortisedcost.Transactioncostsincurredareincludedforthosenotheldatfairvaluethroughprofitorloss.Transactioncostsareincrementalcoststhataredirectlyattributabletotheinitiationoftheborrowings.Borrowingsaresubsequentlystatedatamortisedcost,withanydifferencebetweentheproceeds(netoftransactioncosts)andtheredemptionvaluerecognisedinthestatementofprofitorlossovertheperiodoftheborrowingsusingtheeffectiveinterestmethod.

BorrowingsareclassifiedascurrentliabilitiesunlesstheGrouphasanunconditionalrighttodefersettlementoftheliabilityforatleast12monthsaftertheperiod-enddate.

Financeleasesarecapitalisedatthelease’sinceptionatthelowerofthefairvalueoftheleasedassetandthepresentvalueoftheminimumleasepayments.Eachleasepaymentisallocatedbetweentheliabilityandfinancechargessoastoachieveaconstantrateofinterestontheremainingbalanceoftheliability.FinancechargesarechargedtotheStatementofProfitorLossunlesstheyareattributabletoqualifyingassetsinwhichcase,theyarecapitalisedinaccordancewiththepolicyofborrowingcosts.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

(a) Non-current

Bankborrowings-Secured(noteb) 4,639.1 1,580.3 50.0 70.0

-Unsecured 338.4 13.3 - -

Securedfloatingratenotes(noted) 1,500.0 1,500.0 1,500.0 1,500.0

Convertiblepreferenceshares(notee) 183.9 - - -

Debentures(notef) 154.8 - - -

Loansfromsubsidiarycompanies - - 14.0 14.0

Loansfromothercompanies 304.1 304.1 304.1 304.1

Financeleaseobligations(noteg) 87.8 85.2 0.8 1.3

Total non-current borrowings 7,208.1 3,482.9 1,868.9 1,889.4

Current

Bankoverdrafts 327.6 226.4 0.2 105.4

Bankborrowings(noteb) 1,149.8 518.8 960.0 445.0

Loansfromsubsidiarycompanies - - 39.0 19.5

Loansfromothercompanies 73.8 57.1 73.9 57.1

Financeleaseobligations(noteg) 43.4 33.9 0.5 0.5

Totalcurrentborrowings 1,594.6 836.2 1,073.6 627.5

Total borrowings 8,802.7 4,319.1 2,942.5 2,516.9

(b) Theseloansaresecuredbyfixedandfloatingchargesontheassetsoftheborrowingcompanies.Thecarryingamountoflongtermloansapproximatetheirfairvaluesandtheratesofinterestvarybetween3.0%and8.0%.(2015:2.0%and9.0%).

Thecarryingamountsofborrowingsarenotmateriallydifferentfromtheirfairvalues,whicharebasedoncashflowsdiscountedusingtheborrowingsrateandarewithinlevel2ofthefairvaluehierarchy.


LIABILITIES

26. BORROWINGS (CONTD)

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

(c) Repayableotherwisethanbyinstalments

Afteroneyearandbeforetwoyears 306.0 - 300.0 -

Aftertwoyearsandbeforefiveyears 4.1 304.1 18.1 318.1

Securedfloatingratenotes 500.0 - 500.0 -

Afterfiveyears

Securedfloatingratenotes 1,000.0 1,500.0 1,000.0 1,500.0

Repayablebyinstalments

Afteroneyearandbeforetwoyears 593.5 203.7 - -

Aftertwoyearsandbeforefiveyears 1,339.5 632.9 50.0 70.0

Afterfiveyears 3,191.3 757.0 - -

Total non-current borrowings net of finance lease obligations 6,934.4 3,397.7 1,868.1 1,888.1

(d) Securedfloatingratenotes

On16March2015,theCompanyissued30,000securedfloatingratenotesonprivateplacementasfollows:

Notedescription Maturity Interestrate

TrancheA(10,000notesatRs50,000pernote) 16March2021 ReferenceBankofMauritiusreporate+1.35%p.a

TrancheB(10,000notesatRs50,000pernote) 16March2023 ReferenceBankofMauritiusreporate+1.85%p.a

TrancheC(10,000notesatRs50,000pernote) 16March2025 ReferenceBankofMauritiusreporate+2.35%p.a

ThesenotesaresecuredbyafloatingchargeoveralltheassetsoftheCompanyandthesubsidiariesbeingfinanced.




(e) Convertiblepreferencesharestonon-groupentities

AscenciaLtd,asubsidiarycompanyissued13,934,489convertiblenon-votingpreferencesharesatanissuepriceofRs13.20each,totallingRs183.9m.Themainpurposeofthisissuewastoraisefundsto:

(i) acquireadditionalholdingof34.90%inBagapropLtd,theholdingentityofBagatelleMallofMauritius.

(ii) acquirea100%holdinginGardensofBagatelle,theholdingentityofBagatelleOfficePark.

(iii) settletransactioncostsassociatedwiththeaboveacquisitionsandprivateplacement.

On30June2016,preferenceshareshavebeenconvertedtoClassAordinarysharesforanamountofRs71.5m.

Sailentfeaturesoftheconvertiblepreferencesharesareasfollows:

Preferencesharesshallbeconvertedmandatorilyonthe30thJuneofeveryfinancialyearover5consecutiveyearsintoClassAordinarysharesofthesubsidiarycompanywithoutpayinganyadditionalfee.

Thepreferencesharesyieldadividendof6.0%perfinancialyearover5consecutiveyears,payableoutoftheprofitsofthesubsidiarycompanyandinprioritytodividendspayabletoClassAordinaryshareholdersandClassBordinaryshareholders.DividenddistributionshallbepaidinJuneofeachfinancialyear.

Preferenceshareholderswillnothavetherighttoreceivenoticeof,orattend,orvoteonapollattheshareholders’meetingsofthesubsidiarycompany.

Therighttoanequalshareinthedistributionofsurplusassetsamongnon-convertiblepreferenceshareholdersonwindingup,payableinprioritytotheholdersofordinaryshares.

Theconvertiblenon-votingpreferencesharesshallconstituteunsecuredandsubordinatedobligationsofthesubsidiarycompanyandshallaccordinglyrank juniortoallsecuredandunsubordinatedcreditorsofthesubsidiarycompanybutaheadofClassAordinarysharesandClassBordinaryshares.

(f) Debenturestonongroupentities

Duringtheyearunderreview,AscenciaLtd,asubsidiarycompanyissued12,902,306redeemablebondsatanissuepriceofRs12.00each,totallingRs154.8m.

Sailentfeaturesofthedebenturesareasfollows:

Acouponrateof6.0%perannuminrespectofeachfinancialyearover10consecutiveyears,willbepaidtoBondholdersoutoftheprofitsoftheCompany.ThiswillbepaidinprioritytodividendspayabletoClassAordinaryshareholders,ClassBordinaryshareholdersandpreferenceshareholders.CouponpaymentshallbepaidinJuneofeachfinancialyear.

Bondholderswillnothavetherighttoreceivenoticeof,orattend,orvoteonapollattheshareholders’meetingsoftheCompany.

Bondsshallberedeemedautomaticallyonthe30thJuneofeveryfinancialyearover5consecutiveyearsstarting30June2021,withoutpayinganyadditionalfee.

LIABILITIES



GROUP COMPANY

InRsmillion 2016 2015 2016 2015

(g) Financeleaseobligations

Withinoneyear 42.3 41.2 0.5 0.5

Afteroneyearandbeforetwoyears 41.3 34.1 0.8 0.5

Aftertwoyearsandbeforefiveyears 54.7 46.5 - 0.8


Financeleaseliabilities-minimumleasepayments 144.3 127.7 1.3 1.8

Futurefinancecharges (13.1) (8.6) - -

Present value of finance lease obligations 131.2 119.1 1.3 1.8

Withinoneyear 43.4 33.9 0.5 0.5

Afteroneyearandbeforetwoyears 38.0 36.1 0.8 0.5

Aftertwoyearsandbeforefiveyears 43.9 44.1 - 0.8


Present value of finance lease obligations 131.2 119.1 1.3 1.8

Financeleasearrangementincludescontractfortheleasingofmotorvehiclesandequipment.Attheexpiryoftheleaseperiod,thelesseemaypurchasetheequipmentuponpaymentoftheresidualvalue.Thelessorwillhaverecoursetorepossessionoftheassetupondefault.Nootherrestrictionisstipulated.



27. DEFERRED TAX LIABILITIES

Accounting policy

Deferredtax

Deferredtaxliabilitiesareprovidedinrespectoftaxabletemporarydifferences,usingtaxratesthathavebeenenactedorsubstantivelyenactedatthereportingdateandareexpectedtoapplyintheyearwhentherelateddeferredincometaxassetisrealisedorthedeferredincometaxliabilityissettled.Deferredtaxassetsarisingfromunusedtaxlossesarerecognisedonlytotheextentthatrealisationoftherelatedtaxbenefitisprobable.

Forthepurposesofmeasuringdeferredtaxliabilitiesanddeferredtaxassetsforinvestmentpropertiesthataremeasuredusingthefairvaluemodel,thecarryingamountsofsuchpropertiesarepresumedtoberecoveredentirelythroughsale,unlessthepresumptionisrebutted.Thepresumptionisrebuttedwhentheinvestmentpropertyisdepreciableandisheldwithinabusinessmodelwhoseobjectiveistoconsumesubstantiallyalloftheeconomicbenefitsembodiedintheinvestmentpropertyovertime,ratherthanthroughsale.


ForthepurposesofmeasuringdeferredtaxliabilitiesordeferredtaxassetsarisingfromfairvalueofinvestmentpropertiesthedirectorsreviewedtheGroup’sinvestmentpropertyportfolioandconcludedthatnoneoftheGroup’sinvestmentpropertiesareheldunderabusinessmodelwhoseobjectiveistoconsumesubstantiallyalleconomicbenefitsembodiedintheinvestmentpropertiesovertime,ratherthanthroughsale.Asaresult,theGrouphasnotrecognisedanydeferredtaxesonchangesinfairvalueofinvestmentpropertiesastheGroupisnotsubjecttoanycapitalgaintaxesondisposalofitsinvestmentproperties.

GROUP


(a) At1July 240.2 215.4

ChargedtoStatementofProfitorLoss 64.8 19.0

Acquisitionofgroupcompanies 63.9 5.8

At 30 June 368.9 240.2

(b) Themovementindeferredtaxliabilitiesduringtheyearisasfollows:

GROUP AcceleratedCapital

Allowance

RetirementBenefit

ObligationImpairment

Loss/FairValue TotalInRsmillion

At1July2014 186.6 (0.4) 29.2 215.4

(Released)chargedtoStatementofProfitorLoss (65.1) (5.6) 89.7 19.0

Acquisitionofgroupcompanies 5.8 - - 5.8

At 30 June 2015 127.3 (6.0) 118.9 240.2

ChargedtoStatementofProfitorLoss 14.5 1.8 48.5 64.8

Acquisitionofgroupcompanies 13.1 - 50.8 63.9

At 30 June 2016 154.9 (4.2) 218.2 368.9

LIABILITIES


28. RETIREMENT BENEFIT OBLIGATIONS

Accounting policy

Definedbenefitpensionplansandotherretirementbenefits

Adefinedbenefitplanisapensionplanthatisnotadefinedcontributionplan.Typicallydefinedbenefitplansdefineanamountofpensionbenefitthatanemployeewillreceiveonretirementusuallydependentononeormorefactorssuchasage,yearofserviceandcompensation.

ThepresentvalueofretirementbenefitobligationsisrecognisedintheStatementofFinancialPositionasanon-currentliabilityafteradjustingforthefairvalueofplanassets.Theassessmentoftheseobligationsiscarriedoutannuallybyanindependentfirmofconsultingactuaries,usingtheprojectedunitcreditmethod.Thepresentvalueofthedefinedbenefitobligationisdeterminedbydiscountingtheestimatedfuturecashoutflowsusingratesongovernmentbonds.

Remeasurementofthenetdefinedbenefitliability,whichcompriseactuarialgainsandlossesarisingfromexperienceadjustmentsandchangesinactuarialassumptions,thereturnonplanassets(excludinginterest)andtheeffectoftheassetceiling(ifany,excludinginterest)isrecognisedimmediatelyintheStatementofProfitorLossandOtherComprehensiveIncomeintheyearinwhichtheyoccur.RemeasurementsrecognisedintheStatementofProfitorLossandOtherComprehensiveIncomeshallnotbereclassifiedtotheStatementofProfitorLossinsubsequentyear.

TheGroupdeterminesthenetinterestexpense(income)onthenetdefinedbenefitliability(asset)fortheyearbyapplyingthediscountrateusedtomeasurethedefinedbenefitobligationatthebeginningoftheannualyeartothenetdefinedbenefitliability(asset),takingintoaccountanychangesinthenetdefinedliability(asset)duringtheyearasaresultofcontributionsandbenefitspayments.Netinterestexpense(income)isrecognisedintheStatementofProfitorLoss.

Servicecostscomprisingcurrentservicecost,pastservicecostaswellasgainsandlossesoncurtailmentsandsettlementsarerecognisedimmediatelyintheStatementofProfitorLoss.

Stateplananddefinedcontributionpensionplans

ContributionstotheNationalPensionSchemeandtheGroup’sdefinedcontributionpensionplanareexpensedtotheStatementofProfitorLossintheyearinwhichtheyfalldue.

Gratuity on retirement

Foremployeeswhoarenotcovered(orwhoareinsufficientlycoveredbytheabovepensionsplans),thenetpresentvalueofgratuityonretirementpayableundertheEmploymentRightsAct2008iscalculatedbyaqualifiedactuaryandprovidedfor.Theobligationsarisingunderthisitemarenotfunded.


ThepresentvalueofretirementbenefitobligationsisrecognisedintheStatementofFinancialPositionasanon-currentliabilityafteradjustingforthefairvalueofplanassets,anyunrecognisedactuarialgainsandlossesandanyunrecognisedpastservicecost.Theassessmentoftheseobligationsiscarriedoutannuallybyanindependentfirmofconsultingactuaries.Theactuarialvaluationinvolvesmakingassumptionsondiscountrates,futurepensionincreases,mortalityrates,salaryincreasesandexpectedratesofreturnonplanassets.



28. RETIREMENT BENEFIT OBLIGATIONS (CONTD)

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

AmountsrecognisedintheStatementsofFinancialPosition

Pensionplan(notea) 18.4 (9.1) (28.5) (51.6)

Otherretirementbenefits(noteb) 162.5 175.8 53.6 56.2

Total retirement benefit obligations 180.9 166.7 25.1 4.6

(a) Pensionplan

TheGrouprunsadefinedcontributionplan,theRogersMoneyPurchaseRetirementFund(RMPRF),towhichhavebeentransferredthepensionbenefitsofallemployeeswhoweremembersofaself-administereddefinedbenefitsuperannuationfund(DBSF).Theseemployees,subjecttothemcontributingregularlytotheRMPRF,havebeengiventheguaranteebytheirrespectiveemployersthattheirbenefitsattheageofsixty,undertheRMPRFwouldnotbelessthanthebenefitsprovidedundertheexDBSF.Thepotentialliabilityundertheaboveguaranteeisfundedbyadditionalemployers’contributionsandhasbeenincludedintheprovisionmadeforretirementbenefitobligations.

Inadditiontotheabove,threecompanieshavedefinedbenefitplanswhicharefundedandwheretheplanassetsareheldbyTheSwanLifeLtdandTheSugarIndustryPensionFund.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

AmountsrecognisedintheStatementofFinancialPosition

Presentvalueoffundedobligations 1,353.5 1,574.6 1,170.3 1,386.7

Fairvalueofplanassets (1,444.2) (1,583.7) (1,293.3) (1,438.3)

Excessoffairvalueofplannedassetsoverpresentvalueoffundedobligations (90.7) (9.1) (123.0) (51.6)

Impactofminimumfundingrequirement/assetceiling 109.1 - 94.5 -

Liability (assets) in the Statements of Financial Position 18.4 (9.1) (28.5) (51.6)

Reconciliationofnetdefinedbenefitliability/(asset)

At1July (9.1) (19.2) (51.6) (51.9)

AmountrecognisedinProfitorLoss 11.0 9.1 0.1 1.1

AmountrecognisedinOtherComprehensiveIncome 39.1 5.2 23.2 (0.5)

Lessemployercontributions (9.0) (8.1) (0.2) (0.3)

Acquisitionofsubsidiaries - 3.9 - -

At 30 June 32.0 (9.1) (28.5) (51.6)

Reconciliationoffairvalueofplanassets

At1July 1,583.7 1,439.6 1,438.3 1,377.9

Interestincome 112.8 114.2 94.8 103.5

Employercontributions 9.0 8.1 0.2 0.3

Employeecontributions 0.9 0.6 - -

Benefitspaid (186.3) (121.0) (172.1) (171.4)

Returnonplanassetsexcludinginterestincome (75.9) 123.6 (67.9) 128.0


At 30 June 1,444.2 1,583.7 1,293.3 1,438.3

LIABILITIES



GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Reconciliationofpresentvalueofdefinedbenefitobligation

At1July 1,574.6 1,420.4 1,386.7 1,326.0

Currentservicecost 12.0 10.7 3.7 5.2

Employeecontributions 0.9 0.6 - -

Interestexpense 98.2 112.6 91.2 99.4

(Otherbenefitspaid) (186.3) (121.0) (172.1) (171.4)

Liabilityexperience(gain)loss (130.8) 77.5 (128.8) 82.7

Liability(gain)lossduetochangeindemographicassumptions (0.9) 1.1 - -

Liability(gain)lossduetochangeinfinancialassumptions (14.2) 50.2 (10.4) 44.8


At 30 June 1,353.5 1,574.6 1,170.3 1,386.7

Reconciliationoftheeffectoftheassetceiling

At1July - - - -

AmountrecognisedinOtherComprehensiveIncome 109.1 - 94.5 -

At 30 June 109.1 - 94.5 -

ComponentsofamountrecognisedinProfitandLoss


Netinterestonnetdefinedbenefitliability(asset) (1.0) (1.6) (3.6) (4.1)

Amounts recognised in Profit or Loss 11.0 9.1 0.1 1.1

ComponentsofamountrecognisedinOtherComprehensiveIncome

Returnonplanassetsexcludinginterestincome 75.9 (123.6) 67.9 (128.0)

Liabilityexperience(gain)loss (130.8) 77.5 (128.8) 82.7

Liability(gain)lossduetochangeindemographicassumptions (0.9) 1.1 - -

Liability(gain)lossduetochangeinfinancialassumptions (14.2) 50.2 (10.4) 44.8

Changeineffectofassetceiling 109.1 - 94.5 -

Amounts recognised in Other Comprehensive Income 39.1 5.2 23.2 (0.5)




GROUP COMPANY

InRsmillion 2016 2015 2016 2015

AllocationofPlanassetsatEndofYear(%)Equity-Overseasquoted 18-29 18-29 29 29Equity-Overseasunquoted 0-2 0-2 - -Equity-Localquoted 29-39 29-36 39 36Debt-Overseasquoted 0-7 1-7 - 1Debt-Localunquoted 21-24 21-27 24 27Property-Overseas 0-2 0-2 - -Property-Local 2-21 2-21 2 2Cashandother 0-6 0-5 6 5AllocationofPlanAssetsatEndofPeriod-Reportingentitly’sowntransferablefinancialinstruments 0-2 0-2 2 2-Propertyoccupidedbyreportingentity - - - --Otherassetsusedbyreportingentity - - - -PrincipalAssumptionsusedatEndofPeriodDiscountrate 7.5% 7.0% 7.5% 7.0%Rateofsalaryincreases 5.0-6.5% 5.5-6.0% 6.0% 6.0%RateofPensionincreases 1.5% 1.0% 1.5% 1.0%RateofmedicalcostincreasesAverageretirementage(ARA) 60years 60years 60years 60yearsAveragelifeexpectancyfor:-Male 19.5years 19.5years 19.5years 19.5years-Female 24.2years 24.2years 24.2years 24.2yearsSensitivityAnalysisonDefinedBenefitObligationatEndofPeriodIncreasedueto1%decreaseindiscountrate 140.6 141.7 125.5 124.9Decreasedueto1%increaseindiscountrate 113.7 115.0 102.4 102.3Expectedemployercontributionforthenextyear 10.5 8.6 0.2 0.3

Weightedaveragedurationofthedefinedbenefitobligation 9-12years 8-12years 10years 9years

Theabovesensitivityanalysishasbeencarriedoutbyrecalculatingthepresentvalueofobligationatendofperiodafterincreasingordecreasingthediscountratewhileleavingallotherassumptionsunchanged.Anysimilarvariationintheotherassumptionswouldhaveshownsmallervariationsinthedefinedbenefitobligations.

TheSensitivityanalysismaynotberepresentativeoftheactualchangeinthedefinedcontributionasitisunlikelythatthechangeinassumptionswouldoccurinisolationofoneanotherassomeoftheassumptionsmaybecorrelated.

ThedefinedcontributionpensionplanexposestheGrouptoactualrisks,suchaslongevityrisk,currencyrisk,interestrateriskandmarketinvestmentrisk.

Futurecashflows

Thefundingpolicyistopaycontributionstoanexternallegalentityattheraterecommendedbytheentity’sactuaries.

LIABILITIES



GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Definedcontributionplan

Contributions to Rogers Money Purchase Retirement Fund 59.2 41.3 8.7 7.8

(b) Otherretirementbenefits

Otherretirementbenefitscompriseofretirementgratuityandunfundedpensionspaidtoex-employeesoftheGroup.

At1July 175.8 172.3 56.2 57.1

AmountrecognisedinProfitorLoss 30.7 20.5 4.8 6.0

AmountrecognisedinOtherComprehensiveIncome (32.9) (8.4) (1.4) (1.0)

LessEmployercontributions (11.1) (8.6) (6.0) (5.9)

Acquistionofsubsidiaries - 6.4 - -

Disposalofsubsidiaries - (6.4) - -

At 30 June 162.5 175.8 53.6 56.2

Reconciliationofpresentvalueofdefinedbenefitobligation

At1July 175.8 172.3 56.2 57.1



Pastservicecost 1.8 (2.7) - 0.6

Benefitspaidonsettlement (11.1) (8.6) (6.0) (5.9)

Liabilityexperience(gain)loss (6.0) (6.8) 1.8 1.0

Liabilitygainduetochangeindemographicassumptions 18.8 - (1.8) -

Liabilitygainduetochangeinfinancialassumptions (8.1) (1.6) (1.4) (2.0)

Acquistionofsubsidiaries - 6.4 - -

Disposalofsubsidiaries - (6.4) - -

At 30 June 162.5 175.8 53.6 56.2




GROUP COMPANY

InRsmillion 2016 2015 2016 2015

ComponentsofamountrecognisedinProfitorLoss


Pastservicecost 1.8 (2.7) - 0.6

Service cost 18.5 7.0 1.1 1.7

Netinterestonnetdefinedbenefitliability 12.2 13.5 3.7 4.3

Amounts recognised in Profit or Loss 30.7 20.5 4.8 6.0

ComponentsofamountrecognisedinOtherComprehensiveIncome

Returnonplanassetsexcludinginterestincome

Liabilityexperience(gain)loss (6.0) (6.8) 1.8 1.0

Liabilitygainduetochangeindemographicassumptions (18.8) - (1.8) -

Liabilitygainduetochangeinfinancialassumptions (8.1) (1.6) (1.4) (2.0)

Amounts recognised in Other Comprehensive Income (32.9) (8.4) (1.4) (1.0)

PrincipalAssumptionsusedatEndofPeriod

Discountrate 7.0% 7.0% 8.0% 7.0%

Rateofsalaryincreases 5.5-6.0% 5.5-6.0% 6.0% 6.0%

RateofPensionincreases 0-5.0% 1.0-5.0% 2.0% 1.0%

Averageretirementage(ARA) 60years 60years 60years 60years

Averagelifeexpectancyfor:

-MaleatARA 19.5years 19.5years 19.5years 19.5years

-FemaleatARA 24.2years 24.2years 24.2years 24.2years

SensitivityAnalysisonDefinedBenefitObligationatEndofPeriod

-Increasedueto1%decreaseindiscountrate 25.2 41.2 4.3 5.1

-Decreasedueto1%increaseindiscountrate 19.8 31.4 3.7 4.4

Theabovesensitivityanalysishasbeencarriedoutbyrecalculatingthepresentvalueofobligationatendofperiodafterincreasingordecreasingthediscountratewhileleavingallotherassumptionsunchanged.Anysimilarvariationintheotherassumptionswouldhaveshownsmallervariationsinthedefinedbenefitobligation.

Futurecashflows

-Expectedemployercontributionforthenextyear 16.0 16.4 0.7 0.7

-Weightedaveragedurationofthedefinedbenefitobligation 6-13years 6-18years 13years 15years

RetirementbenefitobligationshavebeenbasedonthereportdatedJune2016submittedbyAonHewittLimited.

(c) Statepensionplan

NationalPensionSchemecontributionsexpensed 29.8 27.0 0.8 0.6

LIABILITIES


30. PROVISIONS

Accounting policy

ProvisionsarerecognisedwhentheGrouphasapresentorconstructiveobligationasaresultofpasteventsandwhenitisprobablethatthisobligationwillresultinanoutflowofeconomicbenefitsthatcanbereasonablyestimated.ProvisionsforrestructuringcostsarerecognisedwhentheGrouphasadetailedformalplanfortherestructuringwhichhasbeennotifiedtoaffectedpartiesandcompriseleaseterminationpenaltiesandemployeeterminationpayments.Provisionsarenotrecognisedforfutureoperatinglosses.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

At1July 42.9 43.7 35.5 35.5

Amountsused (35.5) (0.8) (35.5) -

At 30 June 7.4 42.9 - 35.5

Theaboverelatestoreorganisationcostsinrespectofplannedrestructuringincertainsubsidiaries.

Thecarryingamountoftheprovisionsisconsideredasareasonableapproximationoffairvalue.

31. AMOUNTS PAYABLE TO GROUP COMPANIES

COMPANY


Subsidiarycompanies 114.2 288.4

29. TRADE AND OTHER PAYABLES

Accounting policy

Tradeandotherpayablesarerecognisedinitiallyatfairvalueandsubsequentlymeasuredatamortisedcost.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Tradepayables 949.2 966.0 12.4 13.1

Payabletoassociatedcompanies 1.9 1.9 - -

Accruals 755.8 526.8 71.4 56.2

Otherpayables 1,790.0 1,140.4 153.9 85.2

Total trade and other payables 3,496.9 2,635.1 237.7 154.5

Thecarryingamountofthepayablesisconsideredasareasonableapproximationoffairvalue.



32. CASH AND CASH EQUIVALENTS

Accounting policy

Cashandcashequivalentscomprisecashinhand,amountsrepayableondemandfrombanksandfinancialinstituitionsandshort-termhighlyliquidinvestmentswhichwerewithinthreemonthsofmaturitywhenacquired,lessbankoverdrafts.

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Bankbalancesandcash 944.1 817.0 18.1 27.3

Shorttermloansreceivableanddeposits - - 95.0 162.1

Shorttermloanspayable - - (112.9) (113.4)

Bankoverdrafts (327.6) (226.4) (0.2) (105.4)

Total cash and cash equivalents 616.5 590.6 - (29.4)

Thebankoverdraftsaresecuredbyfloatingchargesontheassetsoftheborrowingcompanies.Therateofinterestvariesbetween6.25%and19.75%,inclusiveofforeigndenominatedoverdrafts.

Noncashtransactions 21.0 39.4 - -

Noncashtransactionsrelatetothepurchaseofequipmentandmotorvehiclesbymeansoffinanceleases.


CASH MANAGEMENT

33. CASH GENERATED FROM (ABSORBED BY) OPERATIONS

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Profitbeforetaxation 1,018.9 1,158.3 117.0 42.0

Shareofresultsofjointlycontrolledentities 49.7 (383.3) - -

Shareofresultsofassociatedcompanies (88.0) (238.0) - -

Exceptionalitems (103.2) (76.4) 3.4 (70.1)

Profit from operations 877.4 460.6 120.4 (28.1)

Depreciation 306.6 274.7 10.1 10.6

Amortisation 18.0 21.5 2.1 2.6

Fairvalueadjustment (392.5) (152.1) - -

Profitonsaleofproperty,plantandequipmentandinvestmentproperties (9.6) (9.4) - (0.1)

Profitonsaleofintangibles - (0.1) - -

Profitondisposaloffinancialassets (0.1) - - -

Investmentincome (24.2) (12.8) (273.8) (162.6)


Interestincome (21.1) (17.5) (83.5) (48.8)

Retirementbenefitobligations 7.4 12.9 - (0.3)

Cash generated from (used in) operations before working capital charges 1,305.4 865.5 (51.1) (133.6)

Changesinworkingcapital(excludingtheeffectsofacquisitionanddisposalofsubsidiaries)

Inventories (40.1) 30.8 - -

Tradeandotherreceivables 39.9 (806.1) (3.1) 4.4

Tradeandotherpayables (48.8) 905.5 (200.8) 33.3

Cash generated from (absorbed by) operations 1,256.4 995.7 (255.0) (95.9)



34. ACQUISITION OF SUBSIDIARIES

(a) Duringtheyear,theGroupmadethefollowingacquisitions:

(i) KrossBorderCorporateServicesLtd,asubsidiarycompanyacquireda100%holdinginRiverCourtAdministratorsLimitedanditssubsidiariesnamelyRiverCourtNomineesLtdandRiverCourtTrusteesLtd.

(ii) VKLogisticsLtd,anewlyincorporatedsubsidiary,acquired100%holdinginGeneralCargoServicesLimitedand80%holdinginGencargo(Transport)Limited.

(iii) At30June2015,AscenciaLimited,asubsidiarycompany,held50.1%inBagapropLimited.On01July2015,itacquiredanadditionalholdingof34.9%inBagapropLimitedtoincreasetheGroup’sholdingto85%,thusobtainingcontrol.

(iv) AscenciaLimited,asubsidiarycompany,alsoacquired100%holdinginGardensofBagatelleLtd.

GROUP%Holding

Proportionofeffectiveownershipinterests Principalactivity

FinancialServices

RiverCourtAdministratorsLimitedandsubsidiaries 100.0 42.6 Globalbusiness

LogisticsGeneralCargoServicesLimited 100.0 33.8 GlobalbusinessGencargo(Transport)Limited 80.0 27.0 GlobalbusinessPropertyBagapropLimited 85.0 34.4 PropertyGardensofBagatelleLtd 100.0 40.5 Property

Thefairvalueofassetsacquiredandliabilitiesassumedwereasfollows:

InRsmillion

Property,plantandequipment 105.4Investmentproperty 5,894.1Tradeandotherreceivables 228.8Cashandcashequivalents 56.1Borrowings (2,294.5)Tradeandotherpayables (223.1)Deferredtaxliability (63.9)

3,702.9Excessoffairvalueofnetassetsoversharesissued (62.5)Excessoffairvalueofnetassetsoverconsiderationprice (117.7)

3,522.7Fairvalueofequityinterestbeforethebusinesscombination (1,510.7)Non-controllinginterestsnotacquired (458.1)

1,553.9Cashandcashequivalentsacquired (56.1)Cash outflow on acquisition net of cash and cash equivalents 1,497.8Satisfiedby:Cash 1,553.9

TherevenueandlossesconsolidatedintheGroup’sStatementofProfitorLossfortheyearended30June2016amountedtoRs905mandRs467mrespectively.


CASH MANAGEMENT


35. COMMITMENTS

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Capitalcommitments

AuthorisedbytheBoardofDirectors

(i) but not contracted for 811.3 258.6 122.3 -

(ii) contracted for but not provided in the financial statements 30.2 382.8 - 313.3

36. CONTINGENT LIABILITIES

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Pendinglegalmatters 69.8 62.4 5.2 -

Guaranteesgiven 1,424.4 1,033.0 413.5 351.9

Total contingent liabilities 1,494.2 1,095.4 418.7 351.9

Pendinglegalmattersrelatetoacourtcaseagainsttwosubsidiarycompanies,theoutcomeofwhichisunknown.

UNRECOGNISED ITEMS

37. EVENTS AFTER THE REPORTING DATE

On29July2016,RogersCapitalLtdapprovedtheissueof18,349,000ordinarysharesofNoParValuetoRogersandCompanyLimitedfortheacquisitionofallsharesheldbythelattercompanyinEnterpriseInformationSolutionsLtdandAXACustomerServicesLtd,subjecttotheapprovalsoftheregulatoryauthorities.

TheapprovalofInformation&CommunicationTechnologiesAuthoritywasobtainedbywayofaletterdated08August2016whereastheapprovaloftheFinancialServicesCommissionwasobtainedbywayofaletterdated22August2016.Theissueoftheaboveshareswilltakeeffectasfrom22August2016.



38. ULTIMATE HOLDING ENTITY

TheultimateholdingentityisSociétéCaredas,a“sociétécivile”registeredinMauritius.

39. RELATED PARTIES TRANSACTIONS

Accounting policy

PartiesareconsideredtoberelatedtotheGroupiftheyhavetheabilityto,directlyandindirectly,controltheGrouporexercisesignificantinfluenceovertheGroup’sfinancialandoperatingdecisions,orviceversa,oriftheyandtheGrouparesubjecttocommoncontrol.Goodsandservicesaresoldatmarketrelatedpricesinforceandtermsthatwouldbeavailabletothirdparties.

(a) Duringtheyear,theGrouptransactedwithrelatedparties.Transactionswhicharenotdealtwithelsewhereinthefinancialstatementsareasfollows:

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Salesofgoods&servicesto

Subsidiaries - - - -

Associates 131.2 79.8 - -

Jointlycontrolledentities - 15.5 - -

Otherrelatedparties 83.7 61.4 - -

Dividendandotherincomefrom

Subsidiaries - - 404.2 266.8

Associates - - 88.0 47.0

Jointlycontrolledentities - - 6.6 0.6

Purchaseofgoods&servicesfrom


Associates 94.4 53.2 14.8 6.9

Jointlycontrolledentities - 0.5 - 0.7

Otherrelatedparties 68.0 142.3 5.4 10.2

Loanspayableto


Associates(Seenotebbelow) 140.4 19.5 11.4 8.4

Jointlycontrolledentities(Seenotebbelow) - - 35.0 13.5

Otherrelatedparties - 8.0 - -


OTHERS

39. RELATED PARTIES TRANSACTIONS (CONTD)

(a) Duringtheyear,theGrouptransactedwithrelatedparties.Transactionswhicharenotdealtwithelsewhereinthefinancialstatementsareasfollows(contd):

GROUP COMPANY

InRsmillion 2016 2015 2016 2015

Loansreceivablefrom

Subsidiaries - - 1,256.4 1,388.3

Associates(Seenote(b)below) 19.9 - - -

Amountowedby


Associates 34.3 19.5 0.7 5.1

Jointlycontrolledentities - - 0.2 -

Otherrelatedparties 20.4 8.0 - -

Amountowedto


Associates 14.5 15.2 10.0 12.8

Jointlycontrolledentities - - - 13.6

Otherrelatedparties 11.0 18.1 - 0.1

Remunerationofkeymanagementpersonnel

Shorttermemployeebenefit 80.6 70.6 45.9 47.0

Postemploymentbenefits 5.8 5.1 3.4 0.3

Terminationbenefits 5.6 - 5.6 -

(b) Theserepresentdepositsmadetoassociatesandjointventuresforwhichthereisnofixedrepaymentterms,securityorguarantee.Allothertransactionshavebeenmadeoncommercialtermsandinthenormalcourseofbusiness.

(c) Therehasbeennoguaranteesprovidedorreceivedforanyrelatedpartyreceivablesorpayables.

(d) Fortheyearended30June2016,theGrouphasnotrecordedanyimpairmentofreceivablesrelatingtoamountsowedbyrelatedparties(2015:Nil).



40. BUSINESS SEGMENTS

Accounting policy

OperatingsegmentsarecomponentsoftheGroupaboutwhichseparatefinancialinformationisavailable.TheyarereportedinamannerconsistentwiththeinternalreportingprovidedtotheChiefExecutiveOfficers,forbothperformancemeasuringandresourceallocation.

Operatingsegmentsthatdonotmeetanyofthequantitativethresholdsof10percentreportedrevenueorprofitorassetsareincludedifmanagementbelievesthatinformationaboutthesesegmentswouldbeusefultouserstobetterappraisefinancialinformation.

Yearended30June2016

InRsmillion AviationFinancialServices Hotels Logistics Property

RealEstateandAgribusiness Technology

CorporateOffice

CorporateTreasury

GroupElimination TOTAL

Revenue 551 266 2,040 3,125 1,164 681 343 257 - (260) 8,167Segmentprofit(loss)fromoperationsbeforefinancecosts 45 54 221 149 610 (101) 23 (48) 81 - 1,034

Financecosts (5) (6) (19) (27) (297) (21) (1) - (165) - (541)

Fairvaluegainoninvestmentproperties - - - - 379 6 - - - - 385

Shareofresultsofassociatedcompanies (11) 94 (57) 13 (44) 19 8 16 - - 38

Profit (loss) before exceptional items 29 142 145 135 648 (97) 30 (32) (84) - 916

ExceptionalItems - - - (1) 101 6 - (3) - - 103

Profit (loss) before taxation 29 142 145 134 749 (91) 30 (35) (84) - 1,019

Taxation (13) (11) (25) (35) (54) 12 (3) - - (129)

Profit (loss) for the year 16 131 120 99 695 (79) 27 (35) (84) - 890

Assets 1,165 1,885 7,542 2,867 11,398 4,483 188 2,356 - (2,434) 29,450

Liabilities 833 360 2,334 1,608 5,632 1,077 117 3,503 - (2,434) 13,030

Capitalexpenditure (16) (5) (144) (140) (410) (76) (32) (12) - - (835)

Depreciation&amortisation (14) (7) (147) (91) (8) (33) (15) (10) - - (325)

(a) OperatingsegmentsarereportedinamannerconsistentwiththeinternalreportingprovidedtotheChiefExecutiveOfficers.

(b) Productdescriptionofabovesegments:

Aviation-GSAofairlines,travelagencyandcatamarantours.

FinancialServices-AssetManagementinvestmentinSwanGeneralLtd.

Hotels-HotelandSpaservices,golfcourseandinvestmentinNewMauritiusHotelsLtd.

Logistics-Freightforwarding,warehousing,courrierservices,packingofspecialsugars,shippingagencyandportrelatedservices.

Property-Propertymanagementandrentals.

RealEstateandAgribusiness-constructionandsaleofvillasandagriculture.

Technology-InformationSolutionprovidersandbusinessprocessoutsourcing.

CorporateServices-strategymonitoring,supporttoSBUs,performancemonitoringandstatutoryreporting.

CorporateTreasury-Netfinancingcosts.

OTHERS



40. BUSINESS SEGMENTS

Accounting policy

OperatingsegmentsarecomponentsoftheGroupaboutwhichseparatefinancialinformationisavailable.TheyarereportedinamannerconsistentwiththeinternalreportingprovidedtotheChiefExecutiveOfficers,forbothperformancemeasuringandresourceallocation.

Operatingsegmentsthatdonotmeetanyofthequantitativethresholdsof10percentreportedrevenueorprofitorassetsareincludedifmanagementbelievesthatinformationaboutthesesegmentswouldbeusefultouserstobetterappraisefinancialinformation.

Yearended30June2016



CorporateOffice

CorporateTreasury

GroupElimination TOTAL

Revenue 551 266 2,040 3,125 1,164 681 343 257 - (260) 8,167Segmentprofit(loss)fromoperationsbeforefinancecosts 45 54 221 149 610 (101) 23 (48) 81 - 1,034

Financecosts (5) (6) (19) (27) (297) (21) (1) - (165) - (541)


Shareofresultsofassociatedcompanies (11) 94 (57) 13 (44) 19 8 16 - - 38

Profit (loss) before exceptional items 29 142 145 135 648 (97) 30 (32) (84) - 916

ExceptionalItems - - - (1) 101 6 - (3) - - 103

Profit (loss) before taxation 29 142 145 134 749 (91) 30 (35) (84) - 1,019

Taxation (13) (11) (25) (35) (54) 12 (3) - - (129)

Profit (loss) for the year 16 131 120 99 695 (79) 27 (35) (84) - 890

Assets 1,165 1,885 7,542 2,867 11,398 4,483 188 2,356 - (2,434) 29,450

Liabilities 833 360 2,334 1,608 5,632 1,077 117 3,503 - (2,434) 13,030

Capitalexpenditure (16) (5) (144) (140) (410) (76) (32) (12) - - (835)

Depreciation&amortisation (14) (7) (147) (91) (8) (33) (15) (10) - - (325)

(a) OperatingsegmentsarereportedinamannerconsistentwiththeinternalreportingprovidedtotheChiefExecutiveOfficers.

(b) Productdescriptionofabovesegments:

Aviation-GSAofairlines,travelagencyandcatamarantours.

FinancialServices-AssetManagementinvestmentinSwanGeneralLtd.

Hotels-HotelandSpaservices,golfcourseandinvestmentinNewMauritiusHotelsLtd.

Logistics-Freightforwarding,warehousing,courrierservices,packingofspecialsugars,shippingagencyandportrelatedservices.

Property-Propertymanagementandrentals.

RealEstateandAgribusiness-constructionandsaleofvillasandagriculture.

Technology-InformationSolutionprovidersandbusinessprocessoutsourcing.

CorporateServices-strategymonitoring,supporttoSBUs,performancemonitoringandstatutoryreporting.

CorporateTreasury-Netfinancingcosts.



40. BUSINESS SEGMENTS (CONTD)

Yearended30June2015



CorporateOffice

CorporateTreasury

GroupElimination Total

Revenue 540 145 1,860 3,002 508 1,076 262 165 - (407) 7,151

Segmentprofit(loss)fromoperationsbeforefinancecosts 36 48 109 90 230 105 18 (105) 47 - 578

Financecosts (4) - (59) (24) (93) (20) (1) - (86) - (287)


Shareofresultsofassociatedandjointlycontrolledentities 21 81 97 26 386 6 3 1 - - 621

Profit (loss) before exceptional items 53 129 147 92 565 219 20 (104) (39) - 1,082

ExceptionalItems - - - (6) 9 6 - 68 - - 77

Profit (loss) before taxation 53 129 147 86 574 225 20 (36) (39) - 1,159

Taxation (11) (12) 25 (16) (29) (63) (3) - - - (109)

Profit (loss) for the year 42 117 172 70 545 162 17 (36) (39) - 1,050

Assets 1,432 1,840 6,830 2,353 5,886 4,510 165 2,376 - (2,757) 22,635Liabilities 1,081 356 1,934 1,180 1,596 906 116 3,173 - (2,757) 7,585Capitalexpenditure (13) (3) (86) (106) (13) (28) (19) (11) - - (279)Depreciation&amortisation (15) (4) (137) (77) (8) (32) (14) (9) - - (296)

OTHERS



40. BUSINESS SEGMENTS (CONTD)

Yearended30June2015



CorporateOffice

CorporateTreasury

GroupElimination Total

Revenue 540 145 1,860 3,002 508 1,076 262 165 - (407) 7,151

Segmentprofit(loss)fromoperationsbeforefinancecosts 36 48 109 90 230 105 18 (105) 47 - 578

Financecosts (4) - (59) (24) (93) (20) (1) - (86) - (287)


Shareofresultsofassociatedandjointlycontrolledentities 21 81 97 26 386 6 3 1 - - 621

Profit (loss) before exceptional items 53 129 147 92 565 219 20 (104) (39) - 1,082

ExceptionalItems - - - (6) 9 6 - 68 - - 77

Profit (loss) before taxation 53 129 147 86 574 225 20 (36) (39) - 1,159

Taxation (11) (12) 25 (16) (29) (63) (3) - - - (109)

Profit (loss) for the year 42 117 172 70 545 162 17 (36) (39) - 1,050

Assets 1,432 1,840 6,830 2,353 5,886 4,510 165 2,376 - (2,757) 22,635Liabilities 1,081 356 1,934 1,180 1,596 906 116 3,173 - (2,757) 7,585Capitalexpenditure (13) (3) (86) (106) (13) (28) (19) (11) - - (279)Depreciation&amortisation (15) (4) (137) (77) (8) (32) (14) (9) - - (296)



41. FINANCIAL ASSETS / LIABILITIES BY CATEGORY

Accounting policy

FinancialassetsandfinancialliabilitiesarerecognisedintheGroup’sStatementofFinancialPositionwhentheGrouphasbecomeapartytothecontractualprovisionsoftheinstrument.

TheGroup’saccountingpoliciesinrespectofthefinancialinstrumentsareasfollows:

Investmentinfinancialassets

Purchasesandsalesoffinancialassetsarerecognisedontrade-date,thedateonwhichtheGroupcommitstopurchaseorselltheasset.Investmentsareinitiallymeasuredonfairvalueplustransactioncostsforallfinancialassetsexceptthosethatarecarriedatfairvaluethroughprofitorloss.

Held-to-maturityfinancialassets

FinancialassetsthattheGroupintendstoholdtomaturityaremeasuredatamortisedcost,lessimpairmentlossrecognisedtoreflectirrecoverableamounts.

Held-for-tradingfinancialassets

Financialassetsheld-for-tradingaremeasuredatfairvalue.UnrealisedgainsandlossesarerecognisedintheStatementofprofitorloss.OndisposaltheprofitorlossrecognisedintheStatementofprofitorlossisthedifferencebetweentheproceedsandthecarryingamountoftheasset.

Available-for-salefinancialassets

Available-for-salefinancialassetsarethosefinancialassetsthatarenotheld-for-tradingorheld-to-maturity.

Theyarecarriedatfairvalue.UnrealisedgainsandlossesarisingfromchangeinfairvaluearerecognisedinOtherComprehensiveIncome.Ondisposalofavailable-for-salefinancialassets,thegainorlossarisingfromthedifferencebetweenthesaleproceedsandthepreviouscarryingamountadjustedforanyprioradjustmentthathadbeenreportedinOtherComprehensiveIncometoreflectthefairvalueofthatasset,isrecognisedintheStatementofprofitorloss.

Fairvalueforquotedfinancialassetsisbasedonmarketquotation.Ifthemarketforafinancialassetisnotactive,andforunquotedfinancialassetstheGroupestablishesfairvaluebyusingrecognisedandacceptablevaluationtechniques.Financialassetsarecategorisedaccordingtoafairvaluehierarchyasfollows:

Level1financialassetsarethosewithunadjustedquotedpricesinactivemarketsforidenticalinvestments.

Level2financialassetsincludequotedpricesforsimilarinvestmentsinactivemarkets,quotedpricesforidenticalorsimilarassetsinmarketsthatarenotactive,inputsotherthanquotedpricesthatareobservablefortheasset(ie,interestratesoryields)andinputsthatarederivedfromorcorroboratedbyobservablemarketdata.

Level3includesunobservableinputsthatreflectdirectors’assumptionsaboutwhatfactorsmarketparticipantswoulduseinpricingsuchinvestments.TheseinputsarebasedonthebestinformationavailableincludingtheGroup’sowninformation.

Non-currentreceivables

Non-currentreceivablesaremeasuredatamortisedcostusingtheeffectiveinterestratemethod,lessprovisionforimpairment.TheamountoflossisrecognisedintheStatementofprofitorloss.

Tradeandotherreceivables

Tradeandotherreceivablesarerecognisedinitiallyatfairvalueandsubsequentlymeasuredatamortisedcost,lessprovisionforimpairment.AprovisionfortradereceivablesisestablishedwhenthereisobjectiveevidencethattheGroupwillnotbeabletocollectallamountsdueaccordingtotheoriginaltermsofreceivables.

TheamountofprovisionisrecognisedintheStatementofprofitorloss.

Cashandcashequivalents

Cashandcashequivalentsincludecashatbank,cashinhand,depositswithoriginalmaturitiesofthreemonthsorless,andbankoverdrafts.BankoverdraftsareshownwithinborrowingsincurrentliabilitiesontheStatementsofFinancialPosition.

OTHERS


41. FINANCIAL ASSETS / LIABILITIES BY CATEGORY (CONTD)

Bankborrowings

Interestbearingbankloansandoverdraftsarerecordedattheproceedsreceived.Financechargesareaccountedforonanaccrualbasis.

Tradeandotherpayables

Tradeandotherpayablesarestatedatfairvalueandsubsequentlymeasuredatamortisedcostusingtheeffectiveinterestmethod.


AnumberofassetsandliabilitiesincludedintheGroup’sfinancialstatementsaremeasuredatfairvalueandutilisesmarketobservableinputsanddata.Inputsusedindeterminingfairvaluearecategorisedinto:

Level1:Quotedpricesinactivemarketforidenticalitems(unadjusted).

Level2:Observableinputsotherthanlevel1.

Level3:Unobservableinputsthatarenotderivedfrommarketdata.

Inassessingthefairvalueoffinancialinstrumentsinlevel3,theGroupusesavarietyofmethodsandmakesassumptionsthatarebasedonmarketconditionsexistingattheendofeachreportingdate.Thecarryingvaluelessanyestimatedcreditadjustmentsforfinancialassetsandfinancialliabilitieswithamaturityoflessthanoneyearareassumedtoapproximatetheirfairvalues.ThefairvaluesofthoseassetsandliabilitiesnotpresentedintheGroup’sandtheCompany’sStatementsofFinancialPositionattheirfairvaluesarenotmateriallydifferentfromtheircarryingamounts.Thefairvalueofsecuritiesnotquotedinactivemarketisdeterminedbyusingvaluationtechniquesincludingthirdpartytransactionvalues,earnings,netassetvalueordiscountedcashflows,whicheverisappropriate.

(a) Financialassetsbycategory

GROUP

InRsmillion Available-for-saleLoansand

receivablesOtherfinancial

assets Total

PerStatementofFinancialPosition

At30June2015

Investmentinfinancialassets(note15) 242.6 200.0 - 442.6

Non-currentreceivables(note17) - 137.5 - 137.5

Tradeandotherreceivables(note20) - 2,205.0 - 2,205.0

Cashandcashequivalents(note32) - - 817.0 817.0

Total financial assets 242.6 2,542.5 817.0 3,602.1

At30June2016

Investmentinfinancialassets(note15) 627.0 - - 627.0

Non-currentreceivables(note17) - 84.7 - 84.7

Tradeandotherreceivables(note20) - 2,985.6 - 2,985.6

Cashandcashequivalents(note32) - - 944.1 944.1





(a) Financialassetsbycategory(contd)

COMPANY

InRsmillion AvailableforsaleLoansand

receivablesOtherfinancial

assets Total


At30June2015

Investmentinfinancialassets(note15) 228.7 200.0 - 428.7

Non-currentreceivable(note17) - 1,086.8 - 1,086.8

Tradeandotherreceivables(note20) - 14.1 - 14.1

Amountsreceivablefromgroupcompanies(note21) - 636.4 - 636.4

Bankbalancesandcash(note32) - - 27.3 27.3


At30June2016

Investmentinfinancialassets(note15) 613.2 - - 613.2

Non-currentreceivable(note17) - 1,015.3 - 1,015.3

Tradeandotherreceivables(note20) - 121.6 - 121.6

Amountsreceivablefromgroupcompanies(note21) - 395.9 - 395.9

Bankbalancesandcash(note32) - - 18.1 18.1


(b) Financialliabilitiesbycategory

GROUP

InRsmillionFinancialliabilitiesatamortisedcosts


At30June2015

Borrowings(note26) 4,319.1

Retirementbenefitobligations(note28) 166.7

Tradeandotherpayables(note29) 2,635.1

Dividendpayable(note25) 136.1

Total financial liabilities 7,257.0

At30June2016



Tradeandotherpayables(note29) 3,496.9



OTHERS



(b) Financialliabilitiesbycategory(contd)

COMPANY

InRsmillionFinancialliabilitiesatamortisedcosts


At30June2015



Tradeandotherpayables(note29) 154.5

Amountspayabletogroupcompanies(note31) 288.4



At30June2016



Tradeandotherpayables(note29) 237.7

Amountspayabletogroupcompanies(note31) 114.2





42. FINANCIAL SUMMARY

InRsmillion 2016 2015 2014


Revenue 8,167.4 7,151.0 6,187.0

Profitfromoperationsbeforefinancecosts 1,033.6 577.8 404.6

Financecosts (541.4) (287.4) (271.3)

Fairvaluegainoninvestmentproperties 385.2 170.2 170.5

Shareofresultsofjointlycontrolledentities (49.7) 383.3 203.8

Shareofresultsofassociatedcompanies 88.0 238.0 228.8

Profit before exceptional items 915.7 1,081.9 736.4

Exceptionalitems 103.2 76.4 70.9

Profit before taxation 1,018.9 1,158.3 807.3

Taxation (129.2) (108.8) (36.9)

Profit for the year 889.7 1,049.5 770.4

Attributableto

Ownersoftheparent 405.1 544.1 467.5

Non-controllinginterests 484.6 505.4 302.9

Profit for the year 889.7 1,049.5 770.4

Numberofsharesinissue 252,045,300 252,045,300 252,045,300

Earnings per ordinary share (EPS) Rs 1.61 2.16 1.85

Profitattributabletoownersoftheparentfromoperations(excludingexceptionalitems) Rs 340.9 469.6 445.3

Numberofsharesinissue 252,045,300 252,045,300 252,045,300

EPS (excluding exceptional items) Rs 1.35 1.86 1.77

Other comprehensive income for the year 4.9 (22.0) 513.1

Cash dividends per ordinary share Rs 0.84 0.84 0.80

OTHERS


42. FINANCIAL SUMMARY (CONTD)

InRsmillion 2016 2015 2014

AssetsandLiabilities

Noncurrentassets 25,019.9 19,011.9 17,918.3

Currentassets 4,430.1 3,622.7 3,121.1

Non-currentassetclassifiedasheldforsale - - 90.7

Total assets 29,450.0 22,634.6 21,130.1

Sharecapital 1,260.2 1,260.2 252.0

Reserves 8,216.9 8,066.7 8,764.0

Non-controllinginterests 6,942.8 5,723.0 5,345.5

Noncurrentliabilities 7,757.9 3,889.8 3,284.2

Currentliabilities 5,272.2 3,694.9 3,484.4

Total equity and liabilities 29,450.0 22,634.6 21,130.1

ShareCapital

Authorised

Numberofordinaryshares 252,045,300 252,045,300 50,000,000

Ordinaryshares(Rsm) 1,260.0 1,260.0 500.0

Issuedandfullypaid

Numberofordinaryshares 252,045,300 252,045,300 252,045,300

Ordinaryshares(Rsm) 1,260.0 1,260.0 25.2


1. What is an Annual Meeting of Shareholders (AMS)?

AnAMSisameetingoftheshareholdersofacompany.Thelawprovidesthatitshouldbeheldnotmorethanonceineachcalendaryearandnot

laterthan6monthsafterthebalancesheetdateofacompany.

2. Who may attend the AMS?

IncompliancewithS120(3)oftheCompaniesAct,theBoardhasresolvedthatonlytheshareholdersoftheCompanyregisteredintheshare

registeroftheCompanyasat30September2016areentitledtoattendtheAMS.

3. Why should a shareholder attend the AMS?

ShareholdersareencouragedtoattendtheAMSasit:

• providesthemwithadirectcontactwiththeBoardandManagementoftheCompany;

• enablesthemtohavemoreinsightintheoperations,strategyandperformanceoftheCompany;

• providesthemwithreasonableopportunitytodiscussandcommentonthemanagementoftheCompany;and

• allowsthemtoparticipateintheelectionofthedirectorsoftheCompany.

4. What matters are discussed at the AMS?

Usually,thefollowingbusinessistransactedattheAMS:

• theapprovaloftheauditedaccountsoftheCompany;

• thereceivingoftheauditor’sreport;

• theconsiderationoftheannualreport;and

• theappointmentofdirectors.

5. What if a shareholder cannot attend the AMS?

An individual shareholder who cannot attend the meeting may appoint a proxy. A corporate shareholder may, on the other hand, appoint a

representativetoattendtheAMSandtoactonitsbehalf.

6. What is a proxy?

A proxy is the person appointed by an individual shareholder to represent him/her at the AMS. Such person, who need not necessarily be a

shareholderoftheCompany,maybeheardatthemeetingasifhe/sheweretheshareholder.

7. How does a shareholder appoint a proxy/representative?

IndividualshareholdersarerequestedtofillintheProxyFormsenttothemwiththenoticeconveningthemeeting.Corporateshareholdersare

requestedtofillintheCorporateResolutionformtoappointtheirrepresentative.Shouldashareholderwishhis/herproxy/representativetovote

atthemeetinginaparticularmanner,he/sheisrequestedtofillintheresolutionboxesfeaturingontheappropriateforms.Theappropriateforms

shouldreachtheCompanySecretarynolaterthan24hoursbeforethestartofthemeeting.

FREQUENTLYASKEDQUESTIONS


Frequently Asked Questions

8. Once a proxy/representative has been appointed, can another proxy/representative be appointed?

Ashareholdercanchangetheproxy/representativeappointedbyhim/her,providedsuchamendedProxyForm/CorporateResolutionreaches

theCompanySecretarynolaterthan24hoursbeforethestartofthemeeting.Shareholdersareadvisedtoattachanexplanatorynotetosuch

amendedProxyForm/CorporateResolutiontoexplainthepurposeoftheamendeddocumentandexpresslyrevoketheProxyForm/Corporate

Resolutionpreviouslysignedbythem.

9. After appointing a proxy, can a shareholder still attend the AMS?

Yes,buthe/sheisrequestedtomakehimself/herselfknowntotheCompanySecretaryassoonashe/sheattendsthemeeting.Theproxywill

consequentlyhavenorighttobeheardandtovoteatthemeeting.

10. How many votes does a shareholder have?

Everyshareholder,presentinpersonorbyproxy/representative,shallhaveonevoteonashowofhands.Whereapollistaken,eachshareholder

shallhavethenumberofvotesthatcorrespondstothenumberofsharesheldbyhim/herintheCompany.

11. What is the voting procedure?

VotingattheAMSisgenerallybyshowofhands.However,ifapollisdemandedforaparticularresolution,thenballotpapersshallbedistributed

andshareholderswillberequestedtocasttheirvotesthereon.

12. How are the votes counted?

Onashowofhands,theChairmanshallcountthevotes.However,ifapollisdemanded,thecountingwillbedonebymanagementunderthe

supervisionoftheauditorofthecompanywhowillbeactingasscrutineer.

13. How to obtain a copy of the minutes of proceedings of the last AMS of the Company?

AshareholdermaymakesucharequesttotheCompanySecretarypriortotheAMS.

14. How to put questions to the Board and/or Management at the AMS?

Beforeeachresolutionisputtothevote,theChairmanmayinviteshareholderstoputquestionsonthatparticularresolution.Whenalltheitems

ontheAgendaoftheAMShavebeentackled,therewillbeaquestiontimewhentheChairmanshallinviteshareholderstoputquestionstothe

Boardand/ortoManagementiftheysowish.

15. What should a shareholder do if he/she would like to propose a candidate for appointment to the board of directors of the Company?

ShareholdersareencouragedtoforwardtheirrequestinwritingtotheChairmanoftheRogersBoardNominationCommitteeviatheCompany

SecretaryasearlyasthefirstweekofJune.


NOTES

RECYCLED CONTENT

Rogers & Company Limited 5th floor, Rogers House, 5 President John Kennedy Street, PO Box 60, Port-Louis, Mauritius Tel. (230) 202 6666 Fax. (230) 208 3646

www.rogers.mu

ANNUAL REPORT 2016 - Rogers Capital...Dear Shareholder, Your Board of Directors is pleased to present the Annual Report of Rogers and Company Limited for the year ended 30 June 2016.

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